For at the same time, however, he also sees a higher probability "that wages will gradually rise significantly, on the one hand to make up for losses in purchasing power, and on the other because labor is becoming increasingly scarce in many sectors," as he explained in an interview with the "Frankfurter Allgemeine Sonntagszeitung".
"The ECB should now at least maintain the previous very slow turnaround in monetary policy in the March meeting," Wieland continued "That means a combination of the end of the pandemic emergency purchase program, a slowdown in bond purchases overall, and the possibility of one or two interest rate hikes in the second half of the year."
FAS: "War's das mit der Zinswende?" (€)