S3E12: A long time coming: ECB sets stage for historic rate hike
FX Talk - an Ebury podcast
English - June 10, 2022 10:00 - 19 minutes - 13.5 MBBusiness News Business News forex financial market finance currencies foreign exchange hedging payments Homepage Download Apple Podcasts Google Podcasts Overcast Castro Pocket Casts RSS feed
Previous Episode: S3E11: Don’t panic, a recession is not here yet
Next Episode: S3E13: Swiss franc flex its muscles, again
Markets will have one eye on next Wednesday's FOMC meeting. The Fed is set to raise rates by another 50 basis points next week and signal more hikes are coming at upcoming meetings. This will be followed by the Bank of England’s latest policy decision on Thursday.
But we’re going to focus first on Thursday’s ECB announcement, which delivered a long awaited hawkish pivot. In the bank’s statement, it explicitly said that it would raise interest rates by 25 basis points at its July meeting, and follow this up with another one in September.