ECB's Villeroy: Middle East stress should not delay June rate cut
Trending Articles- Gold remains bid as lack of Fed clarity and geopolitical frictions persist
- U.S. November Nonfarm Payrolls: What Does the Rare "Weak Jobs, Strong Economy" Mix Mean for U.S. Equities?
- Tesla Stock Hits Record High as Robotaxi Tests Ignite Market. Why Is Goldman Sachs Pouring Cold Water on Tesla?
- U.S. November CPI: How Will Inflation Fluctuations Transmit to US Stocks? Tariffs Are the Key!
- AUD/USD remains depressed below mid-0.6600s; downside seems limited ahead of US NFP report
- December Santa Claus Rally: New highs in sight for US and European stocks?
French central bank chief Francois Villeroy de Galhau said on Sunday that tension in the Middle East is unlikely to drive up energy prices and should not affect the European Central Bank’s (ECB) plans to begin cutting interest rates in June, per Reuters.
Key quotes
"Barring surprises, there is no need to wait much longer.”
"It should be followed by further cuts, at a pragmatic pace,"
"At the moment, the conflict is not leading to a marked rise in oil prices. If this were ever the case, we would have to analyse monetary policy for whether this shock is temporary and limited, or whether it is transmitted—beyond commodities—to underlying inflation”.
Market reaction
These comments have little to no market reaction to the Euro. The EUR/USD pair is trading at 1.0659, adding 0.03% on the day.
Read more
* The content presented above, whether from a third party or not, is considered as general advice only. This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.
