Central Banks
Nagel Suggests ECB Won’t Necessarily Cut Rate Again Anytime Soon
- Officials must be cautious amid high uncertainty, he says
- Decisions will be taken meeting-by-meeting, based on data
Joachim Nagel
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
The European Central Bank may not cut interest rates again for a while as it watches to see how quickly inflation recedes to its 2% target, according to Governing Council member Joachim Nagel.
Policymakers must remain cautious amid still-high uncertainty around the economy and the evolution of price pressures, Nagel — who also heads Germany’s Bundesbank — said in a speech in Leipzig on Monday. He repeated the ECB mantra that future decisions will be taken based on data and on a meeting-by-meeting basis.