ECB Must Cut Further With Data Determining Pace, Simkus Says.

According to Governing Council member Gediminas Simkus, the European Central Bank (ECB) should continue to lower borrowing costs, but the pace of rate cuts will depend on incoming data. Simkus stated that inflation is calming down and further rate cuts are necessary. However, the timing of the next rate cut remains uncertain, with President Christine Lagarde not committing to a specific path. Other ECB officials, including Bostjan Vasle and Olli Rehn, also emphasized the need for caution and flexibility in making interest rate decisions. Bundesbank President Joachim Nagel expressed confidence in reaching the ECB's inflation target of 2% by the end of next year. [Extracted from the article]

Copyright of Bloomberg.com is the property of Bloomberg, L.P. and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)