Reuters polling of 59 analysts shows 43 of them expect a double whammy rate rise from the European Central Bank.
- All 59 tip a +25bp June rate hike
- 43 tip June and then +25 in July also
Reuters add:
- "A 25 basis point rate hike looks like a done deal for next week's meeting," said Carsten Brzeski, global head of macro at ING. "Macro developments since the May meeting have clearly had more to offer the doves than the hawks at the ECB... However, the ECB is fully determined right now to err on the side of higher rates."
The reasoning for the hikes is, fo course, persistently high inflation in the eurozone, ECB president confirming:
- ECB President Christine Lagarde said on Monday it was too early to call a peak in core inflation and reaffirmed rates would need to be increased again.
Here is the Reuters link for more detail on the poll and its results.
