ECB Monthly Bulletin, August 2006

The European Central Bank published its August 2006 Monthly Bulletin on Thursday 10 August. In the report the ECB said it will raise interest rates further to contain inflation if the eurozone economy develops as it expects.

If the ECB's "assumptions and baseline scenario are confirmed, a progressive withdrawal of monetary accommodation will be warranted," the Frankfurt-based central bank said in its August monthly bulletin.

"In the second half of 2006 and on average in 2007, inflation rates are

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