Central Banking

Comment: ECB continues to tighten

As expected the European Central Bank (ECB) yesterday raised eurozone interest rates by another 25 basis points, taking them to 2.5%. With the markets pricing in two further 25 basis point hikes this year, attention now turns to whether ECB president, Jean-Claude Trichet, again signals his intentions beforehand.

COMMENT BY CENTRALBANKNEWS

Trichet said yesterday's move reflected "upside risks to price stability". Headline inflation - the year-on-year increase in the harmonised index of consumer

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