ECB Should Hike Rates by Half-Point in May, Holzman Tells BZ

Stubbornly high inflation still warrants another 50 basis-point increase in interest rates at the European Central Bank’s May meeting, Governing Council member Robert Holzmann told Boersen Zeitung newspaper in an interview, reiterating a view he told Bloomberg earlier.

(Bloomberg) — Stubbornly high inflation still warrants another 50 basis-point increase in interest rates at the European Central Bank’s May meeting, Governing Council member Robert Holzmann told Boersen Zeitung newspaper in an interview, reiterating a view he told Bloomberg earlier.

“The danger of currently doing too little and to fan inflation is bigger than the risk of doing too much”
On quantitative tightening: “If the current pace of €15 billion ($16.5 billion) a month doesn’t trigger any problems on the markets for private or public securities, in my opinion there’s a lot that would support increasing the tempo from July”
NOTE: ECB Half-Point Hike ‘Still on Cards’ for May, Holzmann Says

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