BofA: ECB likely to pursue 50bps hike

Economist Ruben Segura-Cayuela

The European Central Bank is likely to make a 50 basis points hike at its monetary policy meeting on 4 May, a Bank of America economist has argued.

In a BofA Global Research report, Ruben Segura-Cayuela argued that if core inflation remains in line with or stronger than expectations, without any "bad surprises on lending" emerging, he predicted a 50bps hike from the central bank. However, Segura-Cayuela clarified that any dovish data revealed in the forecasts of the ECB, along with potential strategic considerations, would shift expectations to a 25bps rate hike. BoJ's Ueda: Yield curve control likely to be maintained as inflation slows Eurozone inflation is due to be published 2 May, just two days before the ECB's crucial...