Posted 3/30/2024, 3:32:56 PM
ECB's Stournaras Forecasts Up to 1% in Rate Cuts in 2024 to Boost Inflation
- ECB's Stournaras believes 4 interest rate cuts of 25 basis points each are possible in 2024, for a total reduction of 100 basis points
- The cuts would bring rates closer to the ECB's 2% inflation target
- Other ECB policymakers are more cautious about rate cuts or believe they should be more gradual
- Recent French and Italian inflation data supports the argument for quicker ECB rate cuts
- Stournaras says differences of opinion on rates among ECB policymakers are smaller than perceived
