Central Banks
ECB’s Guindos Warns Caution Is Needed as Interest Rates Drop
- Vice president tells Bloomberg TV price goal to be met in 2025
- Investors widely expect quarter-point rate cut in December
It’s “crystal clear” that European Central Bank interest rates will be reduced further but officials shouldn’t rush the process due to uncertainties including rising trade tensions and global conflicts, according to Vice President Luis de Guindos.
“My impression is that we will continue reducing the restriction of our monetary-policy stance over the next months and quarters,” Guindos told Bloomberg Television on Wednesday. Even so, “you have to be extremely prudent.”