ECB’s Rehn calls for July rate hike

The European Central Bank should hike its deposit rate in July by 0.25 percentage points, the ECB’s policy maker Olli Rehn told a Finnish daily on Thursday.

Rehn added the rate would be zero by autumn. It is currently at minus 0.50%.

“After that we could continue further normalising monetary policy gradually and proactively,” he told Finland’s largest daily Helsingin Sanomat in an interview.

Rehn said inflation outlook is very different in the euro zone than in the U.S, where the Federal Reserve raised its benchmark overnight interest rate by 0.5 percentage points on Wednesday.
Source: Reuters