Stock Groups

ECB rate rises will be more gradual than Fed’s, says Draghi -Breaking


© Reuters. Italian Prime Minister Mario Draghi is seen at a press conference alongside Ukrainian President Volodymyr Zeleskiy, Romanian President Klaus Iohannis as well as French President Emmanuel Macron, Romanian President Klaus Iohannis, and German Chancellor Olaf Scholz, Kyiv (Ukraine, June 16, 2022). Ludovic Marin

KYIV (Reuters – Given the economic situation in the euro area, the European Central Bank will invariably raise interest rates slower than the U.S. Federal Reserve.

During a recent visit to Kyiv Draghi, a former president of the ECB, stated that the U.S. has full employment, and the inflation excluding energy prices and raw materials was significantly higher than the euro area.

Consequently, although interest increases are inevitable in the 19-nation currency bloc, “the pace for adjustment will be slower”.