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ECB’s Lane plays down wage, core inflation fears.

Euro zone wage growth could keep pushing up inflation for years but this does not signal a permanent shift in wage dynamics and current indicators underlying inflation may be misleading, European Central Bank chief economist Philip Lane said on Friday.

Wage growth has been a key focus of policymakers this year due to fears that firms will be forced to boost compensation to offset rapid inflation, setting off a hard-to-break wage-price spiral that could force the ECB to keep rates high for long.

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