1327 GMT - The European Central Bank is unlikely to raise interest rates again this year, says Brian Coulton at Fitch Ratings in a note. The central bank unsurprisingly kept rates on hold Thursday, and the key to where it goes next will be whether there are any signs of second-round inflation effects from higher energy prices, he says. "The recent volatility in oil prices is unlikely to have had a major impact on the ECB's interest rate deliberations." But knock-on effects seem unlikely as nominal wage growth remains low and unit profit growth has been in steep decline since 2023, Coulton says. "The risk of a significant rise in domestically-generated inflation looks quite low and we do not foresee any more interest rate hikes this year, he says. (don.forbes@wsj.com)

(END) Dow Jones Newswires

July 23, 2026 09:27 ET (13:27 GMT)

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