November 26, 2024 10:27 GMT
ECB: Rehn Hints At Further ECB Cuts In "Late Winter"
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Headlines crossing from Bank of Finland Governor Rehn, speaking in a public hearing at the Finnish parliament.
"*REHN: CAN CUT RATES IN DECEMBER IF DATA, FORECASTS SUPPORT IT" bbg
- Little changed from Rehn's previous comments on Nov 12: "Disinflation in the euro-area is “well on track” and the growth outlook “seems to be weakening,”....“that strengthens the case for a rate cut in December".
*REHN: MOVING FROM RESTRICTIVE TOWARD NEUTRAL IN LATE WINTER" bbg
- Suggests Rehn could also support another rate cut in late January (there is not a February ECB meeting), though we would caution over-interpretation from just the headline at this stage.
- The comments come amid speculation that the ECB could tweak its guidance at the December meeting (by removing its pledge to keep policy restrictive).
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