Morgan Stanley bumps up ECB terminal rate forecast to 4% from 3.75% previously

<p>That translates to a 25 bps rate hike in July and one more after in September. It will definitely come down to the data but after seeing the June inflation figures <a href="https://www.forexlive.com/news/eurozone-june-preliminary-cpi-68-vs-67-yy-expected-20230630/" target="_blank" rel="follow">here</a>, there is reason to believe that price pressures will remain sticky beyond the summer. And that should warrant further ECB action so long as the economy holds up.</p>

This article was written by Justin Low at www.forexlive.com.