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ECB's Wunsch says should not overact to the Iran war shock, Bloomberg reports; If conflict ends in April, we would be closer to our baseline; reiterates ECB will not rush policy decisions

Importance
Level 1
  • Action may be needed in this situation. He's just been going through scenarios more than offering any personal views on the outlook.
  • if the conflict is not over by June, we'll likely be way over our baseline.
  • Patient today but if the situation remains the same in April he might not be so patient.
  • April is not out of the question, with the caveat that this depends on the progress of the war.
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