ECB Lagarde 'data dependence' is a smokescreen, December rate cut aheadThe next European Central Bank monetary policy meeting is on December 12. TD are expecting another rate cut (the ECB cut by 25bp last week).
TD cites:
- ECB officials (members of the Bank's rate setting committee, the Governing Council) have opened up the door sidely to cuts
- the data-dependent 'one meeting at a time' messaging is still there but anything other than a December rate cut is unlikely
Indeed, Villeroy repeated the data-dependent messaging on Saturday. Who is he kidding? The EU economy is in deep doo-doo, and he expects inflation at target in the next few months:
Anyone up for a 50bp rate from the Bank on December 12? Merry Christmas.
This article was written by Eamonn Sheridan at www.forexlive.com.
Source: ECB Lagarde 'data dependence' is a smokescreen, December rate cut ahead (https://www.forexlive.com/centralbank/ecb-lagarde-data-dependence-is-a-smokescreen-december-rate-cut-ahead-20241020/)
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