FOREX TradingCharts.com

Financial News: European Economics Preview: ECB To Announce Monetary Polic

European Economics Preview: ECB To Announce Monetary Policy Decision

06/09/2022 - 04:17:00 (RTTNews)

(RTTNews) - The monetary policy decision from the European Central Bank is the only major announcement due on Thursday.

The ECB is set to hold its main refinancing rate at zero percent and the deposit rate at -0.50 percent. The policy announcement is due at 7.45 am ET.

At 8.30 am ET, ECB Chief Christine Lagarde holds customary press conference.

The bank is widely expected to announce a plan for stimulus withdrawal after it signaled earlier that asset purchases would end in the third quarter, paving the way for an interest rate hike later in the year.

The central bank is forced to bring inflation down from a record high on the one side and to support the economic recovery on the other side. A rate hike intended to curb inflation will lift the borrowing costs of households which are already struggling with high cost of living. The ECB is set to hike the refinancing rate by 100 basis points between July and the first quarter of 2023 before taking a pause to see what effect this has had so far, economists at ING said. The largest chunk of these hikes will probably be done over the summer, they added.

Markets are pricing in around 35 basis points of rate hike by the July meeting and expect the deposit rate to move out of negative territory by September.

Unless the ECB introduces a new backstop QE programme, economists at Capital Economics, said there is a growing risk of a major sell-off in bond markets during the coming tightening cycle.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2022 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


Hungary Trade Balance Swings To Deficit (01 min(s), 40 sec(s) ago)
(RTTNews) - Hungary's trade balance swung to a deficit in April, as imports rose more than exp ...Full Story»

Poland Inflation Accelerates In June (57 min(s), 40 sec(s) ago)
(RTTNews) - Poland's consumer price inflation continued to increase in June, mainly driven by ...Full Story»

Austria Inflation Highest Since September 1975 (40 sec(s) ago)
(RTTNews) - Austria's consumer price inflation rose to the highest level since September 1975, ...Full Story»

U.S. Construction Spending Unexpectedly Edges Down 0.1% In May (38 min(s), 40 sec(s) ago)
(RTTNews) - Reflecting a decrease in spending on public construction, the Commerce Department rele ...Full Story»

U.S. Manufacturing Index Drops To Two-Year Low In June (27 min(s), 40 sec(s) ago)
(RTTNews) - The Institute for Supply Management released a report on Friday showing its reading on ...Full Story»

Mexico Business Confidence Weakens In June (12 min(s), 40 sec(s) ago)
(RTTNews) - Mexican business confidence decreased for the second straight month in June, though sl ...Full Story»

Eurozone Inflation Reaches New Record High (42 min(s), 40 sec(s) ago)
(RTTNews) - Eurozone inflation accelerated further to a new record high in June, while core inflat ...Full Story»

Amended: Brazil Producer Price Inflation Rises In May (40 min(s), 40 sec(s) ago)
(RTTNews) - Correction: The latest data available is for May Brazil's producer price infl ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

Hungary Trade Balance Swings To Deficit

07/01/2022 - 12:24 PM (RTTNews)
(RTTNews) - Hungary's trade balance swung to a deficit in April, as imports rose more than exp ...Full Story>>

Austria Inflation Highest Since September 1975

07/01/2022 - 12:23 PM (RTTNews)
(RTTNews) - Austria's consumer price inflation rose to the highest level since September 1975, ...Full Story>>

Poland Inflation Accelerates In June

07/01/2022 - 12:20 PM (RTTNews)
(RTTNews) - Poland's consumer price inflation continued to increase in June, mainly driven by ...Full Story>>

U.S. Construction Spending Unexpectedly Edges Down 0.1% In May

07/01/2022 - 11:01 AM (RTTNews)
(RTTNews) - Reflecting a decrease in spending on public construction, the Commerce Department rele ...Full Story>>

U.S. Manufacturing Index Drops To Two-Year Low In June

07/01/2022 - 10:50 AM (RTTNews)
(RTTNews) - The Institute for Supply Management released a report on Friday showing its reading on ...Full Story>>

Do not sell my personal information

Copyright © 2022. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.