Inflation is a "double-edged sword" that tests the wisdom of the European Central Bank, and officials call for caution when reducing interest rates.
Villeroy said, "We have a clear symmetric mission around the 2% inflation target. We must pay attention to both the risks below the target and the risks above the target"; Kazaks stated that the ECB will only lower interest rates at next month's meeting if the euro area economy enters a recession.
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