Live Updates > Live Update Details
2026-09-18 13:34:10
[ECB Vice President Vujicic: High Inflation in Autumn Will Suppress GDP, Don't Get hung up on "Neutral" vs. "Restrictive" Labels] (1) ECB Vice President Vujicic said that if inflation remains high throughout the autumn and affects consumers, it will suppress GDP. (2) He said the ECB is not just focused on energy prices, but on a broader dataset. He indicated that reserve requirements allow the ECB to wipe out some excess liquidity in a simple, low-cost way. The ECB should not focus on labels such as "neutral" and "restrictive" interest rates. (3) He said responsible fiscal policy remains crucial. If inflation expectations decline over time, we may see bond repricing.
