ECB's Schnabel Sees Climate Change, War Leading to Higher Rates.

(Bloomberg) -- The war in Ukraine and the fight against climate change are creating a new "macroeconomic environment" where higher interest rates may be needed to ensure consumers don't loose faith in central banks' ability to keep inflation under control, according to European Central Bank Executive Board member Isabel Schnabel. Policy makers no longer have the luxury to ignore surges in energy prices they have previously argued are temporary and outside their control, Schnabel said in Bloomberg's Stephanomics podcast. [Extracted from the article]

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