ECB could raise rates sooner than expected

The bank's president Jean-Claude Trichet said evidence of "short-term" upward pressures on prices, mostly due to the cost of energy, had not "so far" affected the bank's view on price stability but required "very close monitoring", writes the Telegraph. The move marked a turning point in attitudes at the bank from a neutral stance to a leaning towards more tightening, although it left interest rates at a record low of 1% on Thursday. Economists at Citi now expect a rate rise in the second half of this year - probably before Mr Trichet's term ends on October 31 - rather than the start ...