Central Banks

ECB’s Nagel Sees Gradual Approach as Best in Cutting Rates

  • Bundesbank president in interview with Bloomberg Television
  • Remarks come as officials weigh best time to begin rate cuts
(Clients pleaseWATCH: “It’s often better to do things like that in a gradual manner,” Nagel says when asked to comment on the timing of possible rate cuts.
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The European Central Bank may be better off easing monetary policy gradually, according to Governing Council member Joachim Nagel, who also doesn’t want to rush a first cut in borrowing costs.

“When we’re talking about financial markets, it’s often better to do things like that in a gradual manner,” he told Bloomberg Television on Friday. “I think a gradual approach, often in a theoretical understanding, has a better outcome.”