ECB's Schnabel: Further increases in key policy rates will be needed

European Central Bank (ECB) Governing Council member Isabel Schnabel said on Friday that further increases in the ECB's key rates will be needed, as reported by Reuters.

"The risks of a wage-price spiral are contained, provided inflation expectations remain anchored," Schnabel further added. ECB policymaker explained that she continues to call for a “robust control” approach to monetary policy amid uncertainty about the persistency of inflation.

Market reaction

EUR/USD largely ignored these comments and was last seen trading at 0.9790, where it was down 0.23% on a daily basis.