Christopher Nye
on January 26th, 2023 Markets are currently expecting the European Central Bank to hike interest rates by 50bps next week and again (by the same amount) at the March policy meeting. Although this is in line with the ECB’s forecast, investors suspect things may deviate from the bank’s original predictions from Q2 onwards.
This follows the ECB warning that they could make multiple 50bp increases, and no cuts, this year. The Bank will make its decision next Thursday.
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