Deutsche Bank forecasts a 25bp rate hike in December this year

  • previous forecast was a 10bp hike in December of 2023

DB cite persistently high inflation, higher than current ECB forecasts. After the December hike DB see further hikes of 25bp a quarter through to September '23.

DB cite the risks to their forecasts including:

  • wages rising more slowly than forecast
  • financial conditions tightening
  • geopolitical tensions rising

ECB President Lagarde: