THEAMERICANCONSERVATIVE (David Brady) - European Central Bank Raises Interest Rates by 0.25 Percent
State of the Union: The ECB becomes the first major central bank to raise rates to combat inflation. The post European Central Bank Raises Interest Rates by 0.25 Percent appeared first on The American Conservative .
The European Central Bank (ECB) raised interest rates for the first time in nearly three years on Thursday, from 2 to 2.25 percent, making it the first major central bank to raise rates amidst climbing inflation. Higher energy costs in the eurozone helped to push inflation over 3 percent, forcing a response from the central bank. Economists and investors expect the U.S. Federal Reserve and Bank of England to join the ECB by the end of the year in raising interest rates as inflation continues an upwards climb. Iran’s closing of the Strait of Hormuz has driven up energy prices significantly and weighed significantly in inflationary pressures across the globe. The eurozone’s economy shrank by 0.2 percent in the first quarter of…Open