Economy

European Central Bank delivers half-point interest rate hike

Despite warning that inflation is set to remain ‘too high for too long’, ECB officials declined to give guidance on what they’re likely to do when they next set borrowing costs

President Christine Lagarde will hold a news conference at 2:45 p.m. in Frankfurt to elaborate on the ECB’s decision.

The European Central Bank went ahead with a planned half-point increase in interest rates but was silent on what may follow amid a banking storm that has threatened the survival of Credit Suisse Group AG.

The deposit rate was lifted to 3 per cent on Thursday – as officials have been flagging since their last meeting six weeks ago – but dropped language from its statement indicating the future path for rates.

After becoming engulfed ...