June 5 2008 -- The European Central Bank is likely to leave rates at 4 percent (again) despite inflation rising to 3.6 percent in May, a historic high.
The high inflation figure and the fact that gross domestic product in the euro zone rose 0.8 percent quarter-on-quarter provides a strong argument for a rate rise, but other economic data indicates the European economy is still being affected by the credit crunch and shows no strong signs of recuperating in the near term.
May 8 2008 -- The European Central Bank did what it has done every month since the credit crunch started last August: kept rates steady in the face of high and predominant inflation and slowing growth.
Two weeks ago, remarks from some hawkish members of the ECB governing council raised the possibility that a rate rise was in the cards, despite increasing signs of weakness in the euro zone.
Video: ECB Should Smell the Coffee ; No Surprises from Trichet
April 10 2008 -- The European Central Bank kept rates on hold at 4 percent, as widely expected.
The ECB's current monetary policy will help to maintain medium term price stability at this time of upside inflation risks and financial market tension, ECB President Jean-Claude Trichet said. He acknowledged that turmoil in financial markets was unusually high and tensions might last longer than initially expected.