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The key inflation metric climbed in March as soaring oil prices spilled over into the economy.
By Balazs Koranyi FRANKFURT, May 1 (Reuters) - The European Central Bank may need to tighten policy, perhaps as soon as June, policymakers said on Friday, warning that the inflation outlook is deteriorating and the risk is rising that high price growth gets entrenched.
The BoE’s chief economist voted in favour of a rise but other rate-setters say the Bank should wait to see the extent of inflationary pressure.
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Traders on Thursday slightly tempered their bets that the European Central Bank will hike interest rates three times this year, after policymakers flagged the trade-off between rising inflation and the hit to growth from higher energy prices.
By Fergal Smith TORONTO, April 30 (Reuters) - The Canadian dollar strengthened against its U.S. counterpart on Thursday and was headed for its biggest monthly advance since April 2025, as the greenback posted broad-based declines and investors weighed the potential for higher oil prices to lead to interest rate hikes in the coming months.
The Bank of England has kept interest rates on hold but signalled that the crisis in the Middle East could lead to future increases.A large majority of policymakers opted to keep interest rates at 3.75% at the Monetary Policy Committee (MPC) meeting on Thursday.