ECB mulls rate increase slowdown

FRANKFURT, Germany: Growing hopes that the eurozone's red-hot inflation is nearing its peak could prompt European Central Bank (ECB) policymakers to opt for a smaller rate hike on Thursday, observers say.

Following two consecutive interest rate hikes of 75 basis points, markets are on tenterhooks to see whether the ECB would keep up the aggressive pace or downshift to 50 basis points as the region braces for a winter recession.