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ECB focusing on inflation, not bond spreads, Nagel says

Original: ECB focuses on inflation, not bond spreads, Nagel says

Bundesbank President Joachim Nagel said the European Central Bank's policy decisions are guided by inflation, not movements in eurozone government bond spreads. His remarks address market debate over whether rising yield gaps between member states could force the ECB to intervene. Commentators are weighing what the stance means for heavily indebted countries and the future of the ECB's anti-fragmentation tools.

Why now: Investors are worried about widening bond spreads in the eurozone and want clarity on whether the ECB will respond.

European Central BankJoachim NagelBundesbankeurozone

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