September 30, 2024 at 02:02PM
Latest developments strengthen our confidence that inflation will return to target in a timely manner, we will take that into account at meeting in October
Employment growth slowed to just 0.2% in the second quarter and recent indicators point to a further deceleration in the coming quarters
The labor market remains resilient
We expect the recovery to strengthen over time
The market is already ahead of the ECB and has priced in a near-certainty of an October cut. From there, the market prices in a steady series of 25 bps cuts with risks towards a 50 bps cut on the way to 1.75% around this time next year.
This article was written by Adam Button at www.forexlive.com.
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