Schnabel: The expansion of energy shocks will prompt the European Central Bank to raise interest rates

According to Jin10 Data on May 8th, ECB Executive Director Schnabel stated that if the energy price shock expands, the ECB will need to tighten monetary policy to address the risk of medium-term price stability. She pointed out that the increase in enterprise price increase plans, supply chain disruptions, and household expectation adjustments have exacerbated inflationary pressures. Schnabel emphasized that protecting the independence of central banks is crucial in responding to frequent supply shocks, and stated that the European Central Bank will take necessary measures to bring the 3% inflation rate back to its target level.