1530 GMT - A widely expected 25-basis-point interest-rate hike by the European Central Bank on Thursday, which would bring the deposit rate to 2.50%, places the ECB into a critical monetary policy crossroad, ICM InvestmentBank AG's Michael Klawitter says in a note. Further rate hikes that markets currently price in "would push key interest rates into restrictive territory, thereby weighing on economic growth," the chief economist and portfolio manager says. This effect would be amplified by the fact that financing conditions for the economy have already deteriorated in recent months, driven by a significant rise in long-term yields, he says. The ECB is also aware that higher interest rates don't eliminate the root causes of high energy prices, he says.