Central Banks
ECB’s Villeroy Says Market Views on Rate Path Are Reasonable
- Investors are leaning toward two quarter-point cuts this year
- Estonia’s Muller warns against pre-committing on September
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Market bets that point to two additional European Central Bank interest-rate cuts in 2024 sound “reasonable,” according to Governing Council member Francois Villeroy de Galhau.
“I won’t make a prediction because it will depend on data,” he told BFM Business television on Friday. “We are looking more at the forecast for 2025 than the fluctuations in 2024 as there will be highs and lows from one month to the next. That said, we are free in our decisions, but today the market expectations on the rate path seem to me to be rather reasonable.”