ECB's Knot, which is known for a rather hawkish approach, suggests that interest rates may rise less during the May meeting. Of course, he sees the need for a further hike, but he is not sure about its size. This could mean a 25 bp hike. Knot also points out that banking turbulence can have long-term effects on inflation. He also points out that if there is no more market turmoil, APP reinvestment could gradually come to a halt.
Holzmann, on the other hand, points out that the ECB will have to do "more" in terms of interest rates at its May meeting.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile appStounaras is the least hawkish of them. He said that the ECB should not commit to any rates in advance and stressed that the target was headline inflation and not core inflation. In relation to the main reading, we can expect quite a significant drop in the near future.
EURUSD has been weakening in the morning, however moods revered in the afternoon. Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
