- Have to be open to policy rates moving into restrictive territory for a period in 2023
- It is premature to be talking about terminal rate
- It would be wrong to ascribe out current inflation problem solely to supply shocks
On the balance of things, it would seem like the ECB is leaning more towards a 50 bps rate hike but even up until now, it is hard to rule out a potential 75 bps move yet. That will make it a bit tricky to manage pricing ahead of their policy decision on 15 December.
