ECB Rate Cut Expectations Strengthen
Despite inflation’s slight upside surprise, ECB policymakers remain optimistic about the disinflationary trend. Minutes from the central bank’s January meeting suggest officials see price growth on track to meet the 2% target, though some risks remain.
Markets now await the ECB’s rate decision later this week, with a widely expected rate cut set to mark the sixth reduction since the easing cycle began in June. Traders will focus on the central bank’s policy statement for any shifts in tone regarding future cuts, as uncertainty around inflation stickiness and economic resilience complicates the outlook.
Diverging Inflation Pressures Across the Euro Zone
Inflation trends remain uneven across the euro zone’s largest economies. Germany’s inflation rate held steady at 2.8%, above expectations for a decline,…
Read More
