ECB's Muller says ECB hike may be needed if inflation is persistent

Muller's comments suggest a more hawkish stance from the ECB if inflation remains sticky, which could shift market expectations around future rate hikes. This addresses concerns over persistent inflationary pressures and may prompt reactions in EUR and fixed income markets as traders reassess their positions in light of potential tightening. Overall, this underscores the ECB's vigilance on inflation, impacting cross-asset positioning and rate forecasts.