ECB Official: Rate Cuts Could Begin by June as Inflation Eases, But Views Differ on Pace

• ECB official Fabio Panetta says high inflation is dropping rapidly due to lower energy prices and tight monetary policy

• Panetta believes conditions for loosening monetary policy and cutting interest rates are approaching

• ECB likely to start unwinding rate hikes in June, but views differ on speed of subsequent cuts

• Bank of Italy recorded €0.8 billion profit in 2023 after covering €7.1 billion loss from factors like interest payments

• Panetta gave speech on rates and Italian central bank performance after recent ECB decisions to curb inflation