- Analytics
- News and Tools
- Market News
- ECB’s Rehn: Reasonable that we will rather sooner, in my view in July, start raising rates
ECB’s Rehn: Reasonable that we will rather sooner, in my view in July, start raising rates
European Central Bank (ECB) Governing Council member Olli Rehn said that they may start raising interest rates in July to ensure that inflation expectations remain anchored while speaking in an interview in Austria.
Key quotes
“We are seeing signs of second-round effects.”
“It’s important that we send a signal that these higher inflation expectations we are currently witnessing will not become entrenched.”
“it’s “reasonable that we will rather sooner, in my view in July, start raising rates in line with our normalization of monetary policy. And would expect that when autumn comes, we would be at zero.”
What “we would have in our toolbox in reserve” is “a kind of instrument that would help to counter possible unwarranted fragmentation of financial conditions in Europe.”
“We are seeing some stagflation tendencies.”
Market reaction
Despite the hawkish comments from the ECB policymaker, EUR/USD remains under heavy selling pressure on a firmer US dollar and risk-aversion.
The pair is trading at 1.0515, down 0.32% on the day, as of writing.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
