ECB Expected to Raise Rates Again on Thursday
Most economists polled by Bloomberg and Reuters expect the European Central Bank (ECB) to raise its deposit rate by 25 basis points to 2.5% on Thursday, marking the second and final rate increase in its shortest cycle in 15 years. The move comes amid accelerating Eurozone inflation, driven primarily by energy costs, which reached 3.3% in August. Despite this, economists do not anticipate a third rate hike, believing that energy-driven inflation will not necessarily lead to broader price pressures. The ECB's latest rate-increase cycle is expected to conclude with this move.3 sourcesSee all sources