Economy
ECB, rate hike: what changes for mortgages
The increase in the cost of money announced by the European Central Bank will have repercussions, including heavy ones, especially on variable rate mortgages. Goodbye to the era of negative interest rates, with a first quarter-point hike in July, followed by another as early as September, probably from half a point
–
L’increase in the cost of money announced by the ECB it will have repercussions, even heavy ones, on variable rate mortgages. The European Central Bank has said goodbye, after 7 years, to purchases of public debt. This also marks a goodbye to the era of negative interest rates, with a first hike in July from a quarter of a point, which will be followed by another already in September probably from half a point
–
The decade of quasi-deflation, which required to pay those who got into debt with negative rates, is over, “we are in a different universe,” said Lagarde. “We will ensure that inflation (8.1% in May, ed) returns to the 2% target”
–
To get there, the ECB first decided to close with the era of ‘quantitative easing’. No net purchases of securities from 1 July. Closed Qe, the next step is already at the meeting of 21 Julywhen the ECB “intends to raise the interest rates of 25 basis points ”
–
–
