ECB's Muller: Significant rate hike needed in October

European Central Bank (ECB) Governing Council member Madis Muller told Bloomberg on Thursday that the ECB's monetary policy is still accommodative and they need to move further with tightening.

"Inflation calls for significant rate hikes," Muller noted and added something similar to the last two hikes would be appropriate.

Key takeaways

"It is too early to say how much in basis points."

"We should have a QT discussion relatively soon."

"The euro rate is one of the metrics we're looking at."

Market reaction

These comments failed to help the shared currency and EUR/USD was last seen losing 0.7% on the day at 0.9667.