Reported by Consejeros Editorial Team Three years on, the European Central Bank (ECB) has decided to raise key interest rates by 25 basis points, from 2% to 2.25%. The decision is based primarily on the consequences of the conflict in the Middle East and the closure of the Strait of Hormuz. “The ECB’s rise in official interest rates came against a backdrop of stagflation. The move was also intended to…

By Martin Wolburg At its meeting on 11 June, the ECB is highly likely to raise its key interest rates by 25 basis points, in line with its recent hawkish communication. Beyond that date, the monetary policy outlook becomes more complex, as the Governing Council must balance persistently high inflation with weakening economic activity. Inflation is rising, inflation expectations have rebounded slightly and the fall in real interest rates argues…

Report by Link Securities Isabel Schnabel, a German member of the European Central Bank (ECB) Executive Board, stated that the ECB should raise interest rates in June, even if peace negotiations with Iran result in an agreement. It should be noted that the ECB has kept its key interest rates unchanged for a year, but that inflation in the Eurozone stood at 3% in April, above the ECB’s 2% target….