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ECB will act to head off persistent inflation, Panetta says. 

International News Desk 

According to Global times News Agancy Europe,The European Central Bank will act in a "timely and measured ‌manner" to prevent the current energy ‌shock from turning into persistent inflation, governing council member Fabio ​Panetta said on Friday, The global times Europe media.Panetta, the governor of the Bank of Italy, was speaking at the Italian central bank's annual assembly in Rome.He said the ⁠forward-looking inflation picture appears to call for a "recalibration" of monetary policy by ⁠the ECB.The bank is widely expected to raise rates at its next governing council ​meeting on ​June 10-11, with numerous ​policymakers signalling a ‌need for action.Panetta said that at the June meeting, it will be crucial to assess the extent of the pass-through from higher energy prices.Oil and gas prices are unlikely ‌to normalise quickly even ​if the Iran war is ​rapidly resolved, the ​Bank of Italy chief warned.He ‌said consumers' inflation expectations ​are rising ​and firms have already started planning price increases.Nonetheless, he noted that medium-term ​inflation expectations on ‌financial markets remain firmly anchored to ​the ECB's 2% target.