- A 25 bps cut next week is a likely scenario.
- ECB needs to wait for hard data to confirm forecasts.
- Incoming information points towards converging to 2% inflation goal.
- It is unclear whether there will be inflation spillovers from US policy.
- To retain full optionality is more important than ever.
This article was written by Giuseppe Dellamotta at www.forexlive.com.
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