ECB Rate Increase Had Broad Support, but October Hike Unlikely
Dow Jones
Yesterday
1339 GMT - The European Central Bank's September rate increase had broad support according to minutes of the meeting, Carsten Brzeski at ING says in a note. However, the discussion was more balanced than ECB President Christine Lagarde's post-meeting comments suggested, meaning an October hike looks unlikely, he says. Some officials noted that the energy shock could be less persistent than assumed, while others questioned the narrative that the economy was proving resilient to the energy shock. Meanwhile rising bond yields are adding to opinions that a hike may be unnecessary, Brzeski adds. "With bond markets doing the ECB's job, some officials might be less keen to continue hiking than they were at the September meeting."
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