ECB’s Kocher Warns Against Preemptive Rate Action on Uncertainty

The European Central Bank must avoid knee-jerk policy action over the conflict in the Middle East, according to Governing Council member Martin Kocher.

“It makes sense to clearly communicate that we are not accepting an inflation development that is not in line with our mandate,” he said in an interview on Friday. “But it also doesn’t make sense to preempt something that doesn’t happen later on.”