Economists Wonder If ECB Could Kick Off With Half-Point Hike
- Deutsche, ING among banks that see risk of single 50bp jump
- Analysts increasingly see chance of faster tightening moves
The European Central Bank (ECB) headquarters in Frankfurt.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
Economists at major financial institutions are wondering whether the European Central Bank could adopt a more aggressive stance toward record inflation by lifting borrowing costs in a single half-point move before the year is out.
ING Group’s Carsten Brzeski said a lengthier spell of elevated price growth could “scare the ECB so much” that it “hikes interest rates by 50 basis points in September,” according to a report to clients on Thursday.