ECB keeps options open on rate hike

EUROPEAN Central Bank president Jean-Claude Trichet kept the markets guessing yesterday about his interest rate intentions.

As expected, he declined to comment on whether the financial market turmoil is undermining the European economy, keeping his options open on interest rates until the bank’s council meets on September 6.

Speaking for the first time since the stock market turmoil started, Mr Trichet said the bank’s governing council would wait until its next meeting before taking a final decision about raising interest rates.