- ECB has raised the interest rate by 75 bps to 1.25%, in line with the expectations.
- It hiked the Deposit Facility rate by 75 bps to 0.75%, higher than the expected 0.50%.
- Its Marginal Lending Facility rate now stands at 1.50%.
- It aims to ensure the timely return of inflation to the ECB’s 2% medium-term target.
- Based on its current assessment, the Governing Council expects to raise interest rates further over the next several meetings to dampen demand and guard against the risk of a persistent upward shift in inflation expectations.
- Looking ahead, ECB staff have significantly revised their inflation projections, and inflation is now expected to average 8.1% in 2022, 5.5% in 2023, and 2.3% in 2024.
- In July, ECB hiked the rate by 50 bps to 0.5% from the previous 0% beating the expectations of 0.25% to prop up the ailing euro.
- Photo via Wikimedia Commons
What’s Going On With Lucid’s Stock?
According to a Bloomberg report, the Biden administration plans to raise tariffs on Chinese electric vehicle imports from 25% to 100%, Sources familiar with the situation said the administration is expected to announce the tariffs on EVs and other clean energy imports on Tuesday. Lucid shares are moving on heavy trading volume Monday with more than 39.5 million shares traded in the session.
