Institution: The European Central Bank is more inclined to continue raising interest rates during the summer rather than waiting until September.

The chief investment officers of Orient Huarui expressed that the European Central Bank may raise interest rates twice in a row this summer instead of waiting until September. The report stated, "We expect the European Central Bank to conduct two temporary rate hikes this year, in June and July, respectively." The institution indicated that the main driving force behind this expectation is the continued rise in inflation expectations. "We believe that the European Central Bank is increasingly concerned that inflation expectations may solidify, especially as survey data continues to show that businesses are increasingly willing to raise selling prices." At the same time, the institution believes that there is currently no convincing evidence of significant second-round effects. "Therefore, we believe that the European Central Bank should not initiate a lengthy tightening cycle."