Interest rates predicted to rise

INTEREST rates in Europe and the United States are set to rise before the end of the summer, an economist with the US Conference Board predicted yesterday.

Ken Goldstein, responsible for analysing current trends in labour market activity and forecasting near-term economic development, said US rates would be the first to rise.

He predicted a 1% rise in four installments of 25 basis points and said it could begin as early as June.