"The West is now at the fork: recession or stagflation." What will happen to the euro after the ECB raised the key rate?

Yesterday, the European Central Bank of the Central Bank raised the key rate for the first time in many years. Over the past 11 years, since the fight against the consequences of the financial crisis of 2008–09, the rate in the European Union has been zero. Accordingly, in commercial banks, the bets were negative - I had to pay for storing money on deposits. Now the deposit rate is zero, and for marginal loans you need to pay 0.75%.

“Our benefit: decent banks around the world will stop taking money from us for storing the euro!”, Isaac Becker wrote in his telegram channel.

The regulator not only raised the rate - he raised it unexpectedly tough, by 0.5%, although many were waiting for 0.25%, and the ECB itself, until recently, assured that the time had not yet come to increase the cost of the loan. The press release of the Council of the ECB managers explains that the decision was made for two reasons.

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