FRANKFURT—Euro zone inflation could exceed expectations in the short and medium term, and this outlook for price growth warrants an end to the European Central Bank’s emergency bond purchases next March, Dutch central bank chief Klaas Knot said on Thursday.
Inflation has surged this year on a long list of one-off developments but a growing number of observers, including the International Monetary Fund, warned recently that price rises could be stickier than once thought and may become more permanent.
