ECB’s Rehn: We have started discussing rate cuts

• Started discussion about reducing the restrictive dimension of monetary policy
• Talk relates to when it is appropriate to start cutting interest rates
• If inflation continues to fall, can slowly start easing the foot off the brake pedal of monetary policy

Well, we all know how that discussion ended up. Lagarde certainly addressed that in her press conference here. In any case, we’re still set for a move in June and not before that. Rehn’s comments does not alter that narrative.

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