KOF Monetary Policy Communicator, October 2022
The KOF MPC figure for 27 October 2022 is 0.49. At today’s meeting, the ECB’s Governing Council communicated that inflation will stay above the ECB’s target for an extended period.
The Governing Council decided to raise the three key ECB interest rates by 75 basis points. The Council also expects that a further increase in interest rates will be appropriate. The Governing Council also de-cided to change the terms and conditions of the third series of targeted longer-term refinancing opera-tions (TLTRO III).
According to Eurostat, Euro area annual HICP inflation was 9.9% in September up from 9.1% in August. This increase was caused by all components. Important drivers were again energy and food prices. There are also additional price pressures stemming from the depreciation of the euro exchange rate. The Governing Council expects that inflation to remain undesirably high for an extended period. Above target revision of longer-term inflation expectations have to be monitored.
Contact
KOF Konjunkturforschungsstelle
Leonhardstrasse 21
8092
Zürich
Switzerland