Volker Wieland: ECB key interest rate is not appropriate ("Börsen-Zeitung")

According to Volker Wieland the European Central Bank's (ECB) monetary policy is not aprropriate at the moment. For him, a key interest rate between 1.5 and 2 percent would be justified.

 As Wieland pointed out at a conference in Frankfurt, the Harmonised Index of Consumer Price (HICP) is no adequate inflation indicator. The core rate without the volatile prices for energy and food suggest an inflation of 1 percent. Other indicators as the GDP deflator indicate an even higher interest rate. "The massive monetary easing in the euro area is unnecessary," Wieland said.

Börsen-Zeitung: "Von Physikern und Geldpolitikern"