ECB

Expectations the Bank of England and European Central Bank will raise interest rates in the second quarter of 2011 have risen dramatically, a new survey of fund managers shows.

RATE HIKES IN EUROZONE COULD BE 'DISASTROUS'

ECB MOVE TOO PRE-EMPTIVE

Markets and the single currency reacted strongly yesterday after the European Central Bank hinted at raising interest rates as early as April.

European Central Bank president Jean-Claude Trichet has hinted interest rates may rise next month to fend off inflation pressures, reports Bloomberg.

COMMENT

Speculation Portugal is facing an imminent bailout was fuelled this morning as the European Central Bank was forced to buy the country's government bonds.

MORE EURO CRISES IN 2011

THE EUROZONE'S LATEST CRISIS

ON EUROPE