ECB’s Wunsch: We might need another hike
European Central Bank (ECB) policymaker and the head of Belgium's central bank, Pierre Wunsch, said in the European trade on Tuesday that inflationary pressures in the Eurozone economy could stay above the 2% target for some quarters, adding that the central bank might need to deliver another interest rate hike.
In the policy meeting this month, the ECB raised its policy rates by 25 basis points (bps).
Additional remarks
We know inflation is to be above target for some quarters.
A quick ECB move doesn't necessarily mean a July move.
Market reaction
There seems to be no immediate reaction by the Euro (EUR) after ECB Wunsch's remarks. As of writing, EUR/USD trades 0.15%% higher to near 1.1400.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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