TheXrp sec European Central Bank (ECB) Governing Council member Yannis Stournaras said on Sunday that a total of four interest rate cuts is possible in 2024, with a total rate reduction of 100 basis points (bps) by year-end.
Key quotes
“If inflation develops in line with our March forecast and if this trend continues until the end of the year, I believe that this year we will have reductions in key interest rates from the ECB,”
“Personally I think the reduction of interest rates by four times this year, by 25 basis points each time, is possible”
“This is not yet a unified view. Some colleagues are more cautious and believe that interest rate cuts should be more moderate.”
“The differences of opinion within the governing council of the ECB are much smaller than the image in the media”
Market reaction
EUR/USD came under modest bearish pressure following these comments and was last seen trading at 1.0788, where it was down 0.03% on a daily.
