According to the Bundesbank, a rate hike is likely in July

An ECB rate hike will probably be needed in July. Record inflation calls for an end of the central bank’s bond purchase program “at the end of June”. Bundesbank President Joachim Nagel said, adding that “if the incoming data and our new projection confirm this view, next month I will support a first step to normalize ECB interest rates in July,” he said.

The Federal Reserve and other central banks raised rates to counter inflation, which accelerated as economies emerged from the Covid pandemic and rose further following the Russian invasion of Ukraine in late February.

A hike would be the ECB’s first in over a decade and would come by the time inflation in the eurozone reached 7.5% in April an all-time high and well above the ECB’s 2% target.

The latest surge was largely driven by sharp increases in energy prices due to the Russian invasion of Ukraine. At its latest meeting, the ECB decided to end a bond purchase program that was used to fuel economic growth “in the third quarter” in light of the latest inflation data.

Nagel, head of the traditionally conservative Bundesbank, is one of the strongest supporters of an intervention on the Governing Council of the ECB. But other bankers are more cautious.

“We need to raise rates in the third quarter, probably in July,” said Olli Rehn. The next board of directors will be held in Amestrdam on 9 June.

By Editor

One thought on “According to the Bundesbank, a rate hike is likely in July”
  1. Grow Your Company With Email – Five Tips – 3982999
    10 Powerful Marketing Tips – 118Gan
    Hair Removal – Select From Nine Methods
    Reminders For Running A Significantly Better Business – Slivero Flight
    Cause Of Hair Reduction In Women – The Role Of Dht & Sebum – Xdj186
    Promote Your Online Business And Products Through Article Marketing To Top Web Sites – Kj555
    Network Marketing, Multi Billion Dollar Business Just A Fakes? – News Letter Landing Page Example
    How To Make It Worse Profits By Using A Commission Mailing Business
    Top 10 Marketing Pitfalls
    Three Approaches To Put Fresh Spins On Old Marketing Concepts – Main Launch Pad
    Slogans: Creating And Along With Them In Life, Career And Business – Viagra Mucizesi
    A Simplified Marketing Plan That Is Compatible!
    Ten Day Plan To Online Sales
    Business Partners & Marital Partners Will The Marriage Survive – Part Ii
    Radio Fence Dog Protection Made Simple
    Make Your Writing Or Marketing Projects Your The Goal – Fuli288
    Profile Within The Online Bingo Player – Xlf18
    Book Summary: Mind Your Business – Up Gletyle
    Affiliate Marketing What Should It Be And Opt For It? – Hta 2a6
    10 Ideas To Help You Pack More Power With Your Business Writing – Off-White-Kr
    The 10 Cornerstone Principles Of Marketing
    7 Surefire Ways To Refurbish Bad Credit – Build Traffic
    What Is A Business Business Opportunity? – Arab Anaye Dekparca
    Waxing Tweezing And Waxing Methods – Answers To Frequently Asked Questions – Xgzav
    Never ever Lose at Sports Betting or Gambling – My Blog

Leave a Reply