Deutsche Bank predicts consecutive 25bp rate cuts by ECB starting in December

Deutsche Bank has revised its expectations for the European Central Bank rate cutting cycle … its going to be faster:

• DB see consecutive ECB 25bp rate cuts, beginning from the 12 December meeting
• DB don’t rule out a 50bp cut in December
• Terminal rate of 2 – 2.5% seen mid-2025

This compares to DB’s prior forecast of a 25bp rate cut every quarter until terminal rate of 2 – 2.5% at the end of 2025.

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