What to Watch for in ECB Rate Decision

The European Central Bank (ECB) is considering a significant interest rate hike to combat record inflation, with options of 50 or 75 basis points on the table. The decision is complicated by the risk of a eurozone recession and an ongoing energy crisis. The ECB's actions are crucial for maintaining its credibility. Meanwhile, the European Union is addressing the energy crisis, exacerbated by geopolitical tensions with Russia, by proposing measures like capping Russian gas and stabilizing market prices.

What are the two potential rate hike options discussed in the text?

What is the primary goal of the European Central Bank as mentioned in the text?

How does the text describe the relationship between inflation and the European Central Bank's actions?

What challenges does the European Central Bank face regarding the economy?

What measures did Ursula von der Leyen propose to address the energy crisis?