Issing:Central bank shouldn't try to prick bubbles

Central banks should not try to prick asset price bubbles in property or stock markets, but they do need to take account of asset price developments when setting interest rates, ECB chief economist Otmar Issing said.

"Some might argue that, for example, real estate prices are at times so high that there is very little doubt that they are overvalued, even though one does not know exactly by how much," Issing said at a dinner speech on Monday night.

"Even in such an extreme situation a central ba