ECB on track for one last hike in September - Bloomberg poll

Money markets currently price a 70 per cent chance of a 25 basis-point ECB hike next month

Christine Lagarde: ECB President has said the bank’s September 13 to 14 meeting will be between a 10th straight increase and a pause. Picture: JULIEN BEHAL PHOTOGRAPHY

Unmoved by recent signs that inflation pressure is abating, economists continue to predict that the European Central Bank will deliver one final increase in interest rates next month.

The deposit rate will be lifted to 4 per cent in September from 3.75 per cent now, a Bloomberg poll showed. At the same time, respondents reckon officials will start cutting borrowing costs in March, a month earlier than they previously thought.

The results come as major ...