Bank of France Governor and European Central Bank Governing Council member Francois Villeroy spoke over the weekend at an economics conference.

Villeroy said that while ECB rate hikes were close to peaking, rates would be kept at elevated levels long enough for the impact to feed through the economy.

  • "In the euro area, I believe we will soon reach the high point of interest rates."
  • "But when I say high point this isn't a peak, rather it will be a high plateau, on which we will have to remain for a sufficiently long time to fully transmit all the effects of monetary policy."

The ECB next meet on July 27 with a +0.25% rate hike all but set in concrete.

ECBs Villeroy