The market is convinced that the European Central Bank (ECB) will raise interest rates next Thursday. This decision comes in response to the persistent rise in inflation in the Eurozone, which reached a rate of 3.6% in August, the highest value in three years.
Analysts and market consensus discount a 25 basis point increase in the benchmark rate, which would raise the price of money to 2.50%. This would be the highest level since March 2025.
The clarity of this decision is unusual in recent years, with it being rare that there is so little doubt about the ECB's next move regarding interest rates.
