By Marta Vilar – MADRID (Econostream) – European Central Bank Executive Board member Frank Elderson said on Wednesday that looking through the energy shock had become “increasingly unlikely” for the ECB.

Elderson told CNBC that “the macroeconomic outlook is highly uncertain,” as inflation was on the rise while confidence was weakening.

He added that the future impact of the crisis would depend on whether second-round and indirect effects materialize.

“But the balance of risks has deteriorated,” he said, noting that upside risks to inflation were increasing as well as downside risks to growth.

“There’s a clear deterioration,” he said. “So, I think that the likelihood of us being able to look through this energy price shock has become increasingly low.”

Elderson said the ECB was not seeing second-round effects yet, but their emergence would become more likely the longer the war goes on and the more intense the shock turns.

Asked if the ECB would purposedly avoid a misstep to preserve its credibility, Elderson said that the Governing Council would remain data-dependent and focus on the new projections.

“I think, as I said, that it is increasingly unlikely that we can look through this shock,” he said.