Analyst: European Central Bank Expected to Raise Rates as Early as Next Week, Oil Prices and Policy Face Difficult Choices

Mars Finance reports that KBC Bank analysts stated in a report that the bank expects the European Central Bank to raise interest rates either at next week’s policy meeting or in April. The analysts noted that if there is no unexpected ceasefire by the end of this weekend, the ECB will face difficult policy choices during next Thursday’s meeting, with oil prices at $100 per barrel. LSEG data shows that the currency market expects the ECB to keep rates unchanged in March and to price in about 7.5 basis points of rate hikes in April.

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