The European Central Bank needs to continue raising interest rates amid a “too high” underlying inflation rate, said Governing Council member Klaas Knot. The ECB will have to raise borrowing costs “as long as the underlying inflation hasn’t been tamped down,” Knot said in an interview on the Buitenhof TV show on Sunday. “Our real problem at the moment is that core inflation is still too high.” The central bank on Thursday raised the deposit rate by a quarter-point to 3.25%, following three moves of double that size. ECB President Christine Lagarde also signaled that there will likely be more interest-rate hikes to ... (full story)