Central banks are known for raising interest rates in gradual, 25 basis-point increments, but is this strategy still effective? With inflation on the rise, there is debate over whether the Fed and BoE should speed up the process. In the UK, there are differing opinions on whether rates should be cut or not, with an August rate cut looking likely. Meanwhile, the ECB is considering another rate cut to stimulate the economy, despite the eurozone’s uncertain economic outlook.

In the US, upcoming data on home sales and durable goods orders are expected to reflect a lackluster demand due to rising mortgage rates. The ECB is likely to maintain its current rates as it waits to see the effects of potential tariff escalations. In Central and Eastern Europe, Poland’s manufacturing sector remains weak, while Hungary is expected to maintain its interest rates due to high inflation expectations. In Turkey, the central bank is monitoring monetary policy indicators closely and may start rate cuts in July.

Overall, central banks around the world are facing challenges in navigating the current economic landscape, with varying strategies and priorities in place.

Read more at Investing.com: Week Ahead: Central Banks’ Unwritten Rule