ECB’s Rehn: Expectations for two more rate cuts in 2024 are ‘reasonable’
|European Central Bank (ECB) policymaker Olli Rehn said on Wednesday that the market expectations that the ECB will reduce interest rates twice more this year to as low as 2.25% in 2025 are ‘reasonable’, per Bloomberg.
The Finnish central bank chief also said that “while officials must ensure inflation returns to 2%, they shouldn’t overly dampen economic activity.”
Market reaction
The above comments maintained the bearish pressure on the EUR/USD pair, as it flirts with intraday lows near 1.0710, at the time of writing.
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