Euro-zone price stability is facing upward risks over the medium term, while economic fundamentals remain sound, European Central Bank President Jean-Claude Trichet reiterated Wednesday. Trichet also reinforced the bank's message that second-round effects, or the passthrough of high oil and food prices to wages and general consumer prices, won't be tolerated. Trichet repeated that the ECB Governing Council stands ready to counter inflation risks, and to ensure that second-round effects don't materialize. "Our main problem in the current circumstances is to prevent second-round effects and if we had second-round effects, we would be in a totally different universe," Trichet said. "Don't be surprised if we remain alert and we tell...all price-setters we wouldn't hesitate to do whatever would be necessary to avoid those second-round effects." Trichet also repeated calls for the elimination of inflation-indexed wage increases still in place in some countries, adding that these guarantee second-round effects.