ECB’s Holzmann: I was the only one against a rate cut

• Seeing it as a hawkish cut suggests that we will act more cautiously moving forward
• Sees little risk of a second wave of inflation
• But inflation is stickier than expected
• Hopefully the future will be data-driven

I would say that the last remark sticks out. The ECB pre-committed themselves to a move this week, and clearly Holzmann doesn’t think that it is “data-driven”. That despite all the justifications put out by his peers over the last 24 hours.

This article was written by Justin Low at www.forexlive.com.