Odds of interest rate rise shortened

THE odds of an ECB interest rate hike to dampen the Christmas spirit have shortened considerably leading economists warned.

Ulster Bank Markets economist Niall Dunne said there was an eight-in-10 chance the ECB will hike rates 0.25% when it meets in early December.

His view is shared by Austin Hughes of IIB Bank. High inflation, accelerating borrowing and improving economic sentiment give ECB hawks more ammunition, he said.