ECB Lifts Deposit Rate to 2.25% as Eurozone Inflation Holds at 3.2%
Updated
Updated · Crypto Briefing · Jul 15
ECB Lifts Deposit Rate to 2.25% as Eurozone Inflation Holds at 3.2%
1 articles · Updated · Crypto Briefing · Jul 15
Summary
A 25-basis-point ECB rate increase on June 15 lifted the deposit rate to 2.25%, the first hike in nearly three years.
Martin Kocher said the bank remains committed to its 2% inflation target after May eurozone inflation came in at 3.2%, still elevated by Middle East-driven energy disruptions.
Kocher said the ECB need not react to every short-term price move, even as higher transport costs, supplier contracts and wage pressures are expected to keep inflation elevated into 2027.
The move signals renewed tightening but on a measured scale, far smaller than the 75-basis-point steps seen in the 2022-2023 inflation cycle.