Berlin - European Central Bank chief Jean-Claude Trichet warned Friday about the threat posed by surging inflation sparking a wage push.

"Our message is that we should avoid second-round effects," Trichet said in an interview with four European newspapers.

"We cannot change today the prices of oil and commodities," he said. "But we must avoid that prices that depend on us - for instance prices of services or the wages and salaries - would augment abnormally as if the present abnormal level of inflation would last."

The publication of the interview coincided with the release of new data showing producer prices in Europe's biggest economy, Germany, rising at the fastest pace in 26 years to hit an annual 6.7 per cent in June. This followed a rise to 6 per cent in May.

Trichet's comments and the latest German producer price data follow the ECB's decision this month to deliver its first rate hike in more than a year.

The ECB's 21-head rate-setting council decided to raise borrowing costs in the 15-member eurozone by 25 basis points to 4.25 per cent. This also came in the wake of data showing inflation in the 15- member eurozone jumping to a record 4 per cent in June.

Eurozone inflation now stands at double the ECB's target of "close to, but just below 2 per cent," with soaring food and energy costs having sparked a global pickup in inflation.

However, the Frankfurt-based ECB's hawkish stance on inflation has helped trigger market speculation about whether the bank might press on and raise the cost of money again by the end of the year.

But in his newspaper interviews, Trichet repeated what is now ECB mantra, insisting that the bank never makes any commitments on interest rate policy.

"We are never pre-committed and that we will do in the future," he said.

However, he also again pointed to the threats facing economic growth in the eurozone.

"I have also said clearly that the risks for growth were on the downside," he said.

"Amongst these risks are the influence of the ongoing very significant financial market correction, the possible further increases in oil and commodity prices and the possible unwinding of global financial imbalances," he said.

The ECB chief also warned that financial markets could face further turmoil as a result of the financial and economic uncertainty unleashed by the US subprime mortgage crisis.

"My assessment is that we are experiencing, since August last year, an ongoing very significant market correction with episodes of turbulence, episodes of a high level of volatility and of hectic market behaviour," he said. (dpa)