Ten, no more? Five questions for the ECB

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Ten, no more? Five questions for the ECB
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Cooking Culinary Adventure: inspired by Halifax's Seaport Market | SaltWire #cooking #cookingshortsLONDON - The European Central Bank has good reasons to hold fire on Thursday after raising interest rates at its past 10 meetings.

ECB chief Christine Lagarde may stick with the high-for-longer mantra that has pushed up long-dated bond yields. ECB chief economist Philip Lane says the ECB will need time, possibly until next spring, before it can be confident that inflation is coming down.The ECB is not expected to start active bond sales soon. Instead, debate centres on whether to bring forward the December 2024 end-date for reinvestments from the Pandemic Emergency Purchase Programme , which many favour.Under PEPP, reinvestments can be skewed to countries most in need.

As an energy importing region, Europe is more vulnerable than the United States to an inflation spike caused by Middle East tensions, said Chris Jeffrey, head of rates and inflation at Legal & General Investment Management.

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