Economics
ECB’s Knot Is Hawkish on Hikes, But Still Lags Markets: Chart
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Investors are betting that the European Central Bank will raise the deposit rate by 25 basis points in September and take it to zero by the end of the year, following a shift in tone at last week’s Governing Council meeting. That’s more aggressive than the timeline that Klaas Knot, one of the ECB’s most hawkish policy makers, laid out in a TV interview on Sunday. A first hike could come in the fourth quarter, with a second one possibly following in the spring, he said.
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