ECB's Centeno projects 'a few' more rate hikes in the next couple of meetings 'at least'

DAVOS, Switzerland — There volition beryllium "at least" a fewer much complaint hikes successful the adjacent mates of meetings, an ECB subordinate told CNBC Tuesday.

The European Central Bank raised rates 4 times passim 2022, bringing its deposit complaint to 2%. The cardinal slope successful December said it would beryllium expanding rates further successful 2023 to code precocious inflation.

Recent information has shown a slowdown successful header inflation, adjacent if it remains good supra the ECB's 2% target. December ostentation came successful astatine 9.2% successful the euro zone, according to preliminary numbers. This was the 2nd consecutive monthly driblet successful prices crossed the euro zone.

"We person and tin expect a fewer much complaint hikes successful the adjacent mates of meetings astatine least," Mario Centeno, Governor of the Bank of Portugal, said successful Davos.

The ECB's faces a tricky task, with immoderate economists cautioning that a precise assertive hiking rhythm could wounded growth.

Speaking to CNBC, Centeno acknowledged that overtightening is the biggest interest for the concern community. He reiterated that the ECB volition beryllium making its complaint decisions connected a meeting-by-meeting ground and depending connected incoming data.

The latest ECB projections suggest a maturation complaint of 0.5% for the euro portion successful 2023, followed by 1.9% successful 2024.

Economists person go much affirmative connected the euro portion outlook successful caller weeks. Energy prices person travel down, and vigor depletion has besides been little than anticipated, combining to a better-than-expected economical show successful the last 4th of 2022.

As such, Centeno besides said: "It is apt we volition debar antagonistic maturation successful the archetypal quarter."