ECB governing council member Kazimir said euro-area inflation could come in above the bank's recently upgraded forecasts and singled out natural gas and electricity as growing risks. The ECB last Thursday delivered a second rate hike this year and raised several inflation projections, underpinning market bets for up to three more hikes next year. Kazimir, viewed as a hawk, cautioned that policymakers' openness to further action should not be read as hesitation and said the bank will act decisive

ECB governing council member Kazimir said euro-area inflation could come in above the bank's recently upgraded forecasts and singled out natural gas and electricity as growing risks. The ECB last Thursday delivered a second rate hike this year and raised several inflation projections, underpinning market bets for up to three more hikes next year. Kazimir, viewed as a hawk, cautioned that policymakers' openness to further action should not be read as hesitation and said the bank will act decisively when evidence warrants. He said his focus has shifted from oil and fuels to gas and power, and that food inflation—which affects perceptions and expectations—is expected to pick up.