FRANKFURT, Germany, Nov. 25 (UPI) -- The European Central Bank's decision to hike a key interest is worrying some observers who say the continent's economic recovery is fragile.
Such critics point to a recent study showing consumer spending down in France, another revealing falling business confidence in Belgium and -- most recently -- a larger-than-expected decline in Germany business confidence this month, The New York Times reported Friday.
The ECB is raising a key interest rate next week out of concern that its current 2 percent interest rate will not be enough to slow what it sees as growing inflation, most recently measured at 2.3 percent.
But a number of analysts find the bank's decision as overly risky, the newspaper said.
"I don't think these numbers are going to give them second thoughts," said Erik F. Nielsen, the chief European economist at Goldman Sachs. "But I wouldn't want to be in (ECB president's) shoes right now."
