Konrad Kleinfeld at State Street Global Advisors said the ECB could pair a
widely expected rate rise on Thursday with an intentionally open-ended signal.
Markets should focus less on the September decision itself than on whether a
2.50% deposit facility rate will be regarded as sufficiently restrictive or
whether the ECB will preserve room for a December move. LSEG money-market data
show traders have fully priced in a 25bp hike on Thursday, taking the deposit
rate to 2.50%.
