Borrowing costs have continued to rise for more than a year, and all eyes will be on how rapidly borrowing costs will rise going forward. european central bank They are pushing back against bets on interest rate cuts.
The extent of that resistance will depend on new projections for the eurozone economy, which come on the heels of a surprisingly sharp slump in inflation. The outlook will help the ECB decide whether to hasten its exit from quantitative easing by phasing out reinvestment under the pandemic-era 1.7 trillion euro ($1.8 trillion) PEPP initiative. may also be helpful.