Analysis-Barely visible wage growth already a trigger for ECB

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Reuters UK

By Balazs Koranyi FRANKFURT (Reuters) – Wage growth in Europe is still barely visible but underlying pressures are intense and the European Central Bank may already have left it too late to stop strong income growth from seeping into record-high inflation. The ECB has been curbing stimulus by the smallest possible increments despite record inflation, arguing that wage growth, a precondition for durable inflation is absent, so prices are bound to moderate once the energy shock passes. That argument is on increasingly shaky ground, however, and the ECB can ill afford to wait for hard data as the…

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