If you are interested in upcoming central bank decisions, paying careful attention to policymakers’ interviews is useful. In recent days, several members of the ECB Governing Council have effectively laid the groundwork for a rate hike on June 11. Yet the arguments they themselves make also reveal why the case for tightening remains much less straightforward than markets seem to assume. A June rate hike now looks highly likely. Markets have priced it in, and several Governing Council members have made clear they expect action. But the same officials stress they are unwilling to commit to further increases afterwards. ... (full story)