Martin Kocher, a member of the European Central Bank's Governing Council, indicated that the ECB might raise interest rates at its next meeting in June unless the conflict in the Middle East eases and energy prices decline.
Kocher stated, "I cannot speak on behalf of the Governing Council; there will be discussions then, but I believe that if this situation persists longer, there will be no alternative to raising rates."
These remarks align with Kocher's previous messages. He has emphasized that any decision will ultimately depend on the data available by the time of the June 11 policy meeting.
Kocher added that to avoid a rate hike in June, it must be clear that the Strait of Hormuz remains navigable in some capacity, and more oil, fertilizer, and other products from the region must enter the global market.
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