European Central Bank President Jean-Claude Trichet signaled he may raise interest rates again in coming months and eased Portugal’s access to emergency funds as officials battle both faster inflation and the debt crisis.
The ECB increased its benchmark rate by 25 basis points to 1.5 percent today, the second increase in three months. The decision on Portugal came after Moody’s Investors Service sparked a renewed selloff in euro region bond markets, saying on July 5 the country may need a second bailout package.
