The European Central Bank raises the key interest rate by 50 points (0.5 percentage points) despite the prevailing banking crisis. The bank’s key interest rate is now 3.5 percent.
According to experts and industry magazines, the announcement was expected. According to Bloomberg’s compilation, an increase of exactly 50 points was expected.
The Swedish krona weakened somewhat after the announcement. Otherwise, market reactions were small. “Inflation looks set to remain too high for too long,” writes the ECB.