European Central Bank Vice President Luis de Guindos on Sunday said that the end of rate hikes was not far and that whether it would be reached in July depended on incoming information, in particular with respect to underlying inflation. In an interview with Spanish national daily ABC, de Guindos said that the effects of past rate hikes ‘are beginning to pass through to financing conditions, with a significant decline in the demand for credit affecting real economic activity. If this slows down, so will inflation. The finishing line is in sight.’ Whether rate hikes would end before summer holidays, presumably meaning ... (full story)