ICYMI: ECB’s Villeroy says we will very probably begin cutting at the June meeting

Bank of France Governor and European Central Bank Governing Council Francois Villeroy de Galhau spoke in an interview with RTL radio on Wednesday:

  • “As we have sufficient confidence, we will very probably begin cutting central-bank rates, doubtless at our meeting at the start of June”
  • lower rates should help the economy to pick up more in 2025

Similarly from Olli Rehn Governor of the Finnish central bank and European Central Bank Governing Council member:

  • “At the ECB’s April meeting, we gave a conditional signal about interest-rate cuts in June”
  • “If the confidence that inflation is approaching its target in a sustainable manner continues to strengthen, the restrictiveness of monetary policy can be reduced”

Bank of Estonia Governor, and member of the European Central Bank Governing Council, Madis Müller, was supportive of June but cautious for meetings beyond then:

  • “I would prefer to remain less specific and repeat the general message that ECB Governing Council members have carried — that it depends on future economic developments and whether we see inflation indicators persistently nearing 2%”

EUR/USD liked the US CPI report:

This article was written by Eamonn Sheridan at www.forexlive.com. Source