ECB lifts rates by unprecedented 75 bps to fight inflation

Meanwhile the PM announced a plan to spend 150 billion pounds to subsidise energy.

Probably the 'natural' interest rate (where resource allocation accurately prices risk) is around 5%, based on history.

To successfully fight inflation, likely rates will need to be somewhat higher than that for a period.

I have read that Canada’s house prices have increased by an average 7% per year for quite a few decades. A 5% mortgage would reduce profits on sale to 2%, I think, which is around the target inflation rate.

Thank goodness the negative rates are over

Are you sure ? I would not underestimate those people.

"to fight inflation?" Really? Meanwhile, they revised inflation expectations up.

If you want to fight inflation instead of saying you're fighting inflation, try a several point raise.

It's a new trend in newspeak. Just like declaring forests burnable because they "regenerate". Or declaring oil = gas = energy. Everything can be true or false depending on the moment.