ECB's Nagel: Risk of tightening policy too late has increased

Nagel says a delay in hiking could require higher rates later

If bond buys end in Q3 as planned, rates could rise this year
ECB should hike if the outlook requires it
Low inflation environment unlikely to return
Risk of second-round effects from high inflation is on the rise

Nagel is the Bundesbank leader and a hawk, so these comments aren't a surprise. If the ECB ever found itself behind the curve in an inflationary environment, it would absolutely wreck eurozone budget balances.