The European Central Bank raised 75 basis points, the first time in 1999

On the evening of the 8th of Beijing time, the European Central Bank raised the three major interest rates of 75 basis points. This is also the first time that the European Central Bank raised 75 basis points in 1999.

Picture source: European Central Bank website

The European Central Bank website news initially estimates that due to the surge in energy and food prices, the pressure of certain industries and the supply bottleneck are still pushing inflation, and inflation may rise further in the short term.

In addition, recent data show that the economic growth of the euro zone has slowed sharply, and the economy is expected to fall into stagnation later this year and the first quarter of 2023.

According to the preliminary estimates of the EU Statistics Bureau, the inflation rate reached 9.1%in August. At the same time, the European Central Bank also estimates that the growth rate of GDP in 2022 is 3.1%, 0.9%in 2023, and 1.9%in 2024.

As of press time, the British FTSE 100 index fell 0.02%, the French CAC40 index fell 0.12%, and the German DAX index fell 0.64%.

The Wall Street Journal pointed out that Morgan Stanley and Nomura economists believe that despite the deterioration of economic prospects, the inflation rate of 9.1%is unbearable by the European Central Bank President Ragard. People are worried that if you do not take action on prices now, inflation will be solidified, and at the same time, it will greatly increase the difficulty of lowering inflation in the future.

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