Lane and Lagarde losing investor confidence in ECB's interest rates argument

With inflation spiking, stoked by supply bottlenecks and rising energy, investors are betting that global momentum for withdrawal of monetary stimulus will soon enough pull the ECB in its wake

ECB chief economist Philip Lane's suggestions of no rate hikes this year have been ignored by financial markets. File picture

ECB officials have some convincing to do about their commitment to rock-bottom interest rates, at a time when investors are growing sceptical.

Financial markets have stubbornly ignored recent warnings from ECB policymakers – including chief economist Philip Lane – that they’re wrong to anticipate a rate hike at the end of next year.