Analysts at Goldman Sachs now expect the European Central Bank (ECB) to raise its rate by 50 basis points (bps) in May, compared to the 25 bps rate hike projection in a research note earlier this week.
Also read: Eurozone Inflation Preview: Eyes on monthly HICP amid heightened hawkish ECB bets
Additional takeaways
“The bank now forecast peak by the European Central Bank to 3.75% by June (versus the previous forecast of 3.50%) citing,
higher than expected Spanish and French inflation numbers.
remarks from ECB chief economist Lane this week to the effect that rates will be held higher for longer.”
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