Even Higher for Longer if Markets Keep Fighting Central Banks, ECB’s Wunsch Explains. The Fed Has Same Problem

By Wolf Richter – Wolf Street

The Fed, the ECB, the BOC, the RBA, and the BOE have been facing the same issue: markets are not cooperating – markets are fighting them, financial conditions have gotten looser and thereby provide additional fuel for inflation, and the longer markets are doing this, the more they’re risking that rates will end up even higher for longer.