Trichet warns of ‘possible’ rise in rates

THE European Central Bank (ECB) president yesterday said a rise in eurozone interest rates was “possible” at its next policy meeting in April.

Jean-Claude Trichet said the ECB was “in a posture of strong vigilance” against higher inflation and left the markets in no doubt about the current mood within the ECB.

Speaking after the bank’s monthly interest rate meeting, he said the rate-setting committee may have to act in the light of recent “price shocks” due to the sharp rises in commodity prices.