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The European Central Bank raised interest rates by a quarter of a percentage point to 4% Thursday and hinted it was done with its protracted campaign of rate hikes to tame stubborn inflation.
Consumer prices in the 20 countries that use the euro rose 5.3% on average this month compared with a year ago, preliminary estimates by Europe’s statistics office showed Thursday.
Germany suffered the steepest decline in business activity for more than three years this month, according to survey data published Wednesday, stoking fears that Europe’s biggest economy is falling back into recession.