"If supply increases, then inflationary pressures decrease." According to Wieland, interest rates need to reach a level where there is a turnaround in core inflation, and then remain at that level for some time. However, "exactly where that level is, we don't know," Wieland said. But at least the forecasts, which were quite optimistic in the fall and can be read from the prices of financial market products, have recently been revised upward, he said.
FAS: "Die Inflation nistet sich ein" (€)
(The quotes also include background information beyond the statements that appeared in the FAS.)