The European Central Bank will raise interest rates once more next month, as high energy prices push inflation further from the bank’s 2% target, and then keep policy unchanged through at least the middle of 2027, according to a Reuters poll published on Thursday.
Rate Hike Expected
An 83% majority of respondents, 57 of 69, in the August 10-13 Reuters poll expected the ECB to raise its deposit rate by a quarter point to 2.50% in September.
Around 80% of economists expected the deposit rate to end this year at 2.50% while 63% said it would remain there until at least the third quarter of next year.
The euro zone economy expanded by a stronger-than-expected 0.4% last quarter and is forecast to grow a further 0.2% and 0.3% this quarter and next.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
