Central Banks

ECB Should Be Cautious and Not Rush Further Cuts, Nagel Says

  • Officials have ‘some way to go’ in beating inflation
  • Bundesbank president comments in speech in Frankfurt

Joachim Nagel

Photographer: Alex Kraus/Bloomberg
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The European Central Bank can afford to take a careful approach to lowering interest rates and officials should keep paying close attention to incoming information, according to Governing Council member Joachim Nagel.

“Our data-dependent approach has proven its worth, especially in view of the prevailing uncertainty,” the Bundesbank president said Wednesday in Frankfurt. “In December, the Governing Council will have a new economic projection. This will show us whether we are still on track with regard to inflation developments. My advice is to remain cautious and not to rush.”