Apr 1, 2011

ECB April`s Rate Hike May Be Premature

They’re going to likely raise rates in April and then continue for a few times this year. But you have five countries in the periphery where there’s almost no growth or contraction, where you have severe banking problems, where you’ve had a loss of competitiveness, where there is a need to restore economic growth.

I fear that an early hike is going to increase the growth fragility, the worsening of competitiveness. - in Bloomberg.com