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Article: ECB Is Expected to Raise Interest Rates
- Article from:
- AP Online
- Article date:
- November 29, 2005
- Author:
CopyrightThis material is published under license from the Associated Press. All inquiries regarding rights should be directed to the Associated Press. (Hide copyright information)
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MATT MOORE, AP Business Writer
AP Online
11-29-2005
Dateline: FRANKFURT, Germany
The European Central Bank is poised to raise its key interest rate this week for the first time since June 2003 _ despite concerns a rate hike may not be warranted.
The bank, which controls monetary policy for the 12-nation euro zone, has sent signals in the past two weeks that its refinancing rate would be increased, likely to 2.25 percent from the 2 percent where it has been since June 2003.
ECB President Jean-Claude Trichet said the bank's governing council was prepared to "moderately augment" interest rates _ a statement taken as the clearest sign yet that a rate increase is on the way to keep inflation in ...