Rate hikes could deflate bubbles - Sweden's Nyberg

Deputy governor of the Sveriges Riksbank Lars Nyberg said on Wednesday 10 December that central banks could use interest rates to prick asset price bubbles. In a speech at an event arranged by the Bank of Indonesia in Jakarta he said that in his view this was an option.

Source: Reuters

Central banks could raise interest rates to prick asset price bubbles and thereby promote financial stability, a deputy governor of the Swedish Riksbank said on Wednesday.

Detecting the signs of a potential

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