Saturday, December 10, 2022
US Daily News Onlne


Lagarde guarantees “gradual” normalization of ECB’s policy after first rate hike

The monetary policy of the European Central Bank (ECB) will be normalized successive Following the first increase in interest rates,…

By admin , in news , at May 11, 2022

The monetary policy of the European Central Bank (ECB) will be normalized successive Following the first increase in interest rates, which may occur “sometime” after the end of the net purchase of the entity’s assets, according to the entity’s president, Christine Lagarde.

The first rate hike will happen shortly after the end of the period net purchase Lagarde reiterated that, judging by the data to come, he expects these to end “at the beginning of the third quarter.”

first rate hike

The “sometime” of the ECB’s declaration of intention could mean “a period of only a few weeks” according to the French, thus leaving open the possibility that the first rate hike will take place. julio,

“After the first rate hike, the process of standardization It will happen gradually”, the ECB chairman assured.

more members of government council The ECB has more or less indirectly expressed its desire for the first increase in interest rates, which will be announced at its meeting next July.

Along these lines, the President of the Bundesbank, Joachim NagelYesterday highlighted the growing risks of central banks acting too late to tackle inflation. “If both incoming data and our new projections confirm this outlook in June, I would recommend the first step by normalizing ECB interest rates in July,” he said.

Last week it was Oli Rehn, who . was the commissioner of economic and monetary matters Of the European Union, Spain requested its defense from the current governor of the European Commission and the Bank of Finland, who defended that “it would be appropriate to raise the deposit rate by 0.25 percentage points in July and to zero when autumn arrives”.

monetary politics

Governing Council of the ECB It plans to meet again to discuss its monetary policy on 9 June, when it will also publish its new macroeconomic projections, after which it will meet again before the summer holidays on 21 July, 8 July 2022. Won’t come back. Update its forecasts.

Lagarde guarantees “gradual” normalization of ECB’s policy after first rate hike

2022-05-11 09:15:59