ECB's Schnabel: I see solely restricted room for additional fee cuts

• I see solely restricted room for additional fee cuts.
• The impression of previous ECB tightening is fading visibly.
• I have to see companies inflation come down.
• I do not see a big threat of inflation undershoot.
• Inflation journey to 2% should still be bumpy in 2025.
• The ECB might noy be so removed from impartial charges.ù

Schnabel is a recognized hawk however in her personal phrases she modifies her thoughts when the info change. She is clearly pushing again in opposition to the aggressive fee cuts expectations. The market pared again a few of these expectations and the 25 bps minimize is now seen because the extra doubtless at 71% likelihood.

This text was written by Giuseppe Dellamotta at www.ubaidahsan.com.



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