(Bloomberg) -- The European Central Bank has “a clearly easing direction for its monetary policy, with the pace and scope dependent on fresh economic data and analysis,” Governing Council Member Olli Rehn told Finnish newspaper Kauppalehti in an interview.
- The ECB has progressed well in reaching its inflation target, Rehn said.
- “In addition, we noted in our statement that there are downside risks to the economic outlook” and that “risks of an even weaker development are material,” he said, adding that “this was one of the reasons why we decided to cut rates in last week’s meeting.”
- Rehn also said that “the US has fairly good prospects for achieving a soft landing and it seems the Fed is seeking to ensure that” with its 50 basis-point rate cut this week.
- Read more: ECB’s Knot Is Comfortable With Market’s Rate-Cut Expectations
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