If you like calm, ECB meetings might not be your thing this month. Speaking in Porec on Thursday, Croatian central bank chief Ante Zigman noted, "We raised interest rates at the last meeting." He also flagged the tone for the upcoming discussion, saying, "Naturally, there will be a very intense debate on how we will proceed and what actions we will take at the next meeting."
Zigman's comments point to a focused back-and-forth among Governing Council members as they decide on borrowing costs in late October. The crux is simple: how to navigate the path forward after the recent moves and what exactly to do at the next gathering.
Disagreement inside a central bank is where the next policy shift starts. Market Briefs covers the ECB free every weekday.
Here's the backdrop heading into Oct. 29: the ECB lifted rates in June and September, and the broad expectation is a pause at the late-October meeting. After that, many anticipate a return to tightening in December.
A pause now and potential tightening later would shape everything from loan rates to savings yields over the next few months. Watch Oct. 29 for signals and December for confirmation so you can gauge how borrowing costs might shift for your day-to-day money.
A lively debate usually precedes a change in direction. Join Market Briefs free and follow the argument.
