ECB's Kazaks: Rise in energy prices does create upside risk to inflation

<ul><li>Recent energy price rise is structural, not a short-term transitory rise</li><li>Given current outlook, rate cut expectations around middle of 2024 are too early</li><li>Rates will need to remain restrictive for quite a while</li></ul><p>In his words, the mix of the rise in energy prices and lower inflation in recent months vindicates pausing i.e. not enough to hike again. But I guess they will twist the story however it needs to be to fit with their narrative. What else is new, am I right?</p>

This article was written by Justin Low at www.forexlive.com.