AMSTERDAM (Reuters) – The European Central Financial institution (ECB) has an extended solution to go in elevating rates of interest than the Federal Reserve, however in the end will not increase its charges to the identical degree as its U.S. counterpart, ECB governing council member Klaas Knot mentioned on Friday.

“The U.S. is nearer to the tip level when it comes to elevating rates of interest than we’re, however we’ve got extra price hikes to go. So a part of the distinction will disappear. My prediction is we cannot shut the hole completely as a result of the issue is deeper rooted within the U.S. than in Europe, because the American financial system and job markets are actually overheating,” Knot mentioned in a gathering with college students in Amsterdam.