ECB May Raise Rate Again in July as Trichet Fights Inflation
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The European Central Bank will raise interest rates again in July as it battles to push inflation below its 2 percent ceiling, a survey of economists shows.
Policy makers will follow yesterday’s increase with 25 basis-point steps every three months, taking the benchmark rate to 1.5 percent in July and 1.75 percent in October, according to the median of 20 estimates in the Bloomberg News survey. The pattern will continue in 2012 with increases every quarter, so that the key rate reaches 2.75 percent before the end of next year, the survey shows.