Isabel Schnabel, a member of the European Central Bank's Executive Board, has voiced apprehension over recent energy price movements, describing them as "quite worrying" as policymakers weigh the possibility of further interest rate hikes following last week's increase.

The German official, speaking at a conference in Berlin on Monday, highlighted that the concern extends beyond crude oil to include diesel. "Refining capacity has been significantly reduced, and it cannot be restored quickly," she stated.

During her joint appearance with German Economy Minister Katherina Reiche, Schnabel also pointed to natural gas prices as a source of unease. "Gas storage levels in Europe are low, and we are facing competition with Asia for liquefied natural gas supplies," she remarked.