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Schnabel's statement is quite hawkish; neither US-Iran talks nor anything else can stop the June rate hike, and the tail of energy inflation is indeed hard to shake off.
Energy shocks persist, inflation has reached 3%, and upside risks remain.
She warned of second-round effects, indicating that a single rate hike may be insufficient to control inflation.
Markets expect a high probability of two more rate hikes in the future, with about a 50% chance of a third.
The ECB will adjust its path dynamically based on data and does not commit to future moves.
High energy prices may also weigh on growth, with inflation and growth coexisting.