Vujcic Prefers 25bps Cuts, But Later, Larger is a "Possibility"

Vujcic speaking live on BBG TV

• We need patience, we need more data to confirm we will hit medium-term target
• Important data on wages still to come, but supply shocks have largely dissipated
• Labour market still strong, domestic inflation still elevated
• We do have disinflation process nicely developing
• Risk of technical recession, but not "real" deep recession

On market pricing for ECB:

• The fact that markets are running ahead of in terms of pricing means financial conditions are easing
• Doesn't take a strong view on market pricing, "sometimes they are right, sometimes they are wrong"
• On question of magnitude of first cut: Later, larger cut is a "possibility" if warranted by the data, but would ideally like to see 25bps cuts initially, makes for smoother running of monpol.