ECB’s Demarco says “June is the more natural horizon to judge whether the war-driven energy shock is passing through to broader inflation; notes that by June, the ECB will have a new set of projections

Inflation / Middle East:

• "Headline inflation will remain well above 2% for sure, but the key thing to look at will be underlying inflation, to see whether there are spillovers into services and broader inflation". 
• Looking for spillover effects into goods and services, from oil rise. 
• Inflation expectations so far remain "well anchored".

Policy:

• Market conditions have tightened
• No done deal for either April or June. 
• No need for anything larger than 25bps. 

Jobs:

"the labor market has softened a bit and employment growth has slowed down"