Institution: Weakening inflation outlook in Eurozone supports European Central Bank's interest rate cut

律动BlockBeats
律动BlockBeats|Apr 14, 2025 07:10
According to BlockBeats, on April 14th, an institutional survey showed that inflation in the eurozone will be lower than previously predicted due to the US raising tariffs. The survey supports the reasons for the European Central Bank's interest rate cut this week. Analysts predict that the average increase in consumer prices in 2026 and 2027 will be 1.9% and 2% respectively, both of which have been revised downwards by 0.1 percentage points. They also expect the economic growth rate to be 0.8% this year, slightly lower than previous expectations, and the momentum of economic growth will rebound thereafter. In another survey, economists predicted that the European Central Bank would cut interest rates twice more in April and June. Morgan Stanley economist Greg Fuzci said, "Even if the United States suspends tariffs, the April rate cut still makes sense." He said, "The June rate cut may not cause too much controversy," but the path ahead depends on how trade negotiations with the United States develop. (Golden Ten)
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