Going to be interesting to see what happens with this. The .5 point increase is still a bit of a shock.
Bank Of England for reference has already increased rates to 1.25
The ECB has done this rate hike after the horse has bolted already. Well it’s the end of free money in Europe and it will have to raise again.
Love how they call it a tool. When it’s another bailout for Italy. To stop it bringing down the whole EU. Might as well throw some more euros onto the bond fire to put off the inevitable. I see radical proposals on the horizon where members national central banks cease to exist and taxation is directly issued by the EU and bypassing it’s members. Who are then allocated regional members budgets. Happy days everyone.
Lets hope it can calm inflation. Im worried about the south, especially Itay, Ive always had the impression Draghi was a decent guy. Lets hope we can get through this together.
Raising interest rates all the way up to… 0%?
From what I understand this seems a good decision. The ECB is not responsible for the current inflation but having a negative interest rate sure doesn’t help either.
It sucks for Italy, since their debt will undoubtedly get more expensive, especially since their government just failed, again. But we can’t just pour monetary gasoline on the inflation fire just for the sake of Italian bonds.
Hopefully this will translate into higher mortgage interest rates and the extreme housing prices in NL will also calm down a bit.
What the hell is “Transmission Protection Instrument”?! 🤔
sounds like a fancy confusing term for what is essentially just money printing to me 💵🖨
“Rushes” lmao. Long overdue.
It seems like a lot, but comparing it to other currencies it is nothing. The ecb raised it from
-0.5 to 0 and will end this year on 0.5. Compare it to the fed which will do another 0.75 this month to 2.5 and end the year on 3.5. It just sucks as the ecb cannot be this agressieve to prevent another eurocrisis.
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Rate increases already reflected on ECB site.
https://www.ecb.europa.eu/stats/policy_and_exchange_rates/key_ecb_interest_rates/html/index.en.html
Going to be interesting to see what happens with this. The .5 point increase is still a bit of a shock.
Bank Of England for reference has already increased rates to 1.25
The ECB has done this rate hike after the horse has bolted already. Well it’s the end of free money in Europe and it will have to raise again.
Love how they call it a tool. When it’s another bailout for Italy. To stop it bringing down the whole EU. Might as well throw some more euros onto the bond fire to put off the inevitable. I see radical proposals on the horizon where members national central banks cease to exist and taxation is directly issued by the EU and bypassing it’s members. Who are then allocated regional members budgets. Happy days everyone.
Lets hope it can calm inflation. Im worried about the south, especially Itay, Ive always had the impression Draghi was a decent guy. Lets hope we can get through this together.
Raising interest rates all the way up to… 0%?
From what I understand this seems a good decision. The ECB is not responsible for the current inflation but having a negative interest rate sure doesn’t help either.
It sucks for Italy, since their debt will undoubtedly get more expensive, especially since their government just failed, again. But we can’t just pour monetary gasoline on the inflation fire just for the sake of Italian bonds.
Hopefully this will translate into higher mortgage interest rates and the extreme housing prices in NL will also calm down a bit.
What the hell is “Transmission Protection Instrument”?! 🤔
sounds like a fancy confusing term for what is essentially just money printing to me 💵🖨
“Rushes” lmao. Long overdue.
It seems like a lot, but comparing it to other currencies it is nothing. The ecb raised it from
-0.5 to 0 and will end this year on 0.5. Compare it to the fed which will do another 0.75 this month to 2.5 and end the year on 3.5. It just sucks as the ecb cannot be this agressieve to prevent another eurocrisis.