The Euribor, Doomed To More Increases

The Euribor has seven months of increases. It is true that it is still negative and that it is about very slight increases; however, they are significant as a sign of a change in trend .

Everything indicates that the level of 0.5% below zero that the Euribor reached in the worst moments of the pandemic constitutes a reliable floor, below which there will be no further declines. In parallel, it is obvious that the market assumes that monetary normalization is already in sight and the ECB is doomed to withdraw its stimuli and, later, to raise rates.

Therefore, although slowly, the Euribor will continue to rise, and the holders of mortgages referenced to such a popular index should be aware of them , who will inevitably see their loans become more expensive.

The Euribor has seven months of increases. It is true that it is still negative and that it is about very slight increases; however, they are significant as a sign of a change in trend .

Everything indicates that the level of 0.5% below zero that the Euribor reached in the worst moments of the pandemic constitutes a reliable floor, below which there will be no further declines. In parallel, it is obvious that the market assumes that monetary normalization is already in sight and the ECB is doomed to withdraw its stimuli and, later, to raise rates.

Therefore, although slowly, the Euribor will continue to rise, and the holders of mortgages referenced to such a popular index should be aware of them , who will inevitably see their loans become more expensive.