FRANKFURT – FRANKFURT (Reuters), – It is possible that the European Central Bank will raise interest rates in July. This would allow them to gradually move back into positive territory. Ignazio VISCO, head of Italy’s central bank said Friday on Bloomberg TV.

“Inflation expectations are now at around 2% and apparently, they’re going to stay there,” Visco said. “We can and will move. We can also move slowly, increasing interest rates in the future months.”

Visco stated, “Now, we think that it is possible to move out the negative territory,” adding that while a June hike was not feasible, Visco suggested that July could be the time for liftoff.