ECB meeting minutes due at 11:30 GMT

We’re expecting the ECB’s meeting minutes a bit later in the session, here is a quick wrap of the most important points from the meeting:

• ECB
  maintained interest rates unchanged, focusing on achieving its inflation
  target.
• Guidance
  reiterated: interest rates to remain high as needed.
• No
  hints at policy normalization discussions, contrary to some expectations.
• 2024
  and 2025 inflation forecasts reduced, with 2025 expected to hit the 2%
  target.
• 2024
  growth projection lowered to 0.6% from 0.8%; 2025 growth forecast remains
  at 1.5%.
• ECB
  President Lagarde expressed the bank is not yet fully confident about
  meeting its inflation target.
• Future
  policy direction to become clearer in April and significantly more so in
  June.
• Governing
  Council unanimously decided against discussing rate cuts now but started
  talks on reducing restrictive policies, not waiting to reach the 2%
  inflation target before cutting rates.
• Reports
  indicate a strong preference among policymakers for a rate cut in June,
  with further discussions on a potential second cut in July to persuade a
  minority advocating for an earlier start.

As always it’s important to remember that the minutes are usually stale since we have a ton of ECB speakers all voicing their opinions after the meeting. That means it’s unlikely we learn anything new, but we need to be ready in case we do.

This article was written by Arno V Venter at www.forexlive.com.