But what if the US economy weakens?

While there is a strong consensus that the ECB's policy rate will have reached 3.5% by the end of 2006, the outlook for 2007 is much less certain. While ongoing economic recovery in Europe and the persistence of expected inflation above the 2% target ceiling point towards further normalisation in 2007, there are some external risk factors that may induce the ECB to pause at 3.5% or even, in some extreme scenarios, go into reverse. Accordingly, I consider the international dimension of the

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: