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INCHEON
37 FOREIGN LANGUAGE
HIGH SCHOOL

0.5 percentage points. Next is the ECB's creditworthiness. If the ECB, which is criticized for its sluggish behavior,
takes a big step, it can show that it is doing its best to fight inflation externally. On the other hand, however, it could
lose confidence in communication with the market in the future as it would betray its promise to raise the price
by 0.25 percentage points this time. The tightening trend of currencies around the world is also a factor to keep

in mind. If the Fed raises its key interest rate by 0.75 percentage points as expected by the market at next week's
monetary policy meeting, it will raise 2.25 percentage points this year alone. The ECB is relatively passive in
raising interest rates compared to the Fed, and the euro has fallen below $1 as a result. If the ECB takes a big step,
the euro value can bottom out and curb the rise in import prices due to the weakening euro. It is also burdensome

that the ECB's next monetary policy meeting is in seven weeks. If there is no effect of suppressing inflation when
only a normal increase is made this time, it will have to wait for nearly two months. However, Bloomberg pointed
out that calling an emergency meeting before a regular meeting could cause fear in the financial market.

Lee chaewon (1-8)
dreamer0306@naver.com