ECB increasingly inclined to pause rate hikes as g

LONDON, Aug. 25 (Reuters) - European Central Bank policymakers are growing increasingly concerned about a deteriorating growth outlook, leading to growing calls for a pause in interest rate hikes despite ongoing internal debate, eight sources said, Reuters reported. more. Several sources see a rate hike and a pause as a 50/50 chance for now, with a few seeing a pause as more likely. Meanwhile, none said they thought a rate hike was the most likely outcome, although they favored a hike. That's a marked departure from market expectations six weeks ago, when markets still saw the ECB as most likely to raise rates in September. Even with a pause in rate hikes, however, the ECB needs to make it clear that its job is not done and further tightening may still be required, all sources said.