Deutsche Bank has scaled back its expectations for ECB interest rate cuts in 2024 to three, from previously projecting five:
expect 3 25bp rate cuts this year“We are updating our ECB baseline to a more gradual – and uncertain – easing cycle”
DB do expect 5 cuts in total, just later for the final 2:
“We retain the same baseline terminal rate, but three quarters later than in our previous view.”
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Bloomberg reported the change of forecast on Tuesday EUR time.
Lagarde spoke overnight ICYMI too:
ECB Pres. Lagarde: We will cut rates soon, barring any major surprises
This article was written by Eamonn Sheridan at www.forexlive.com.