On Thursday, during an OMFIF gathering in London, Rehn remarked that the surge in energy prices has so far largely avoided broad diffusion across the wider economy. He called wage growth in the euro area moderate and noted there have been no second-round effects so far. He warned the energy shock is still unfolding and said "upward risks may be creeping in." Rehn added that monetary policy will proceed with a steady hand to secure price stability and in doing so support sustainable growth and jobs. He also acknowledged the strain households feel from higher oil and gas costs.
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