ECB’s Makhlouf: I don’t think the job is done on taming inflation

• Services inflation is still slightly higher than I would prefer
• Prudence and caution have a premium to them, we should continue in that manner
• I don’t feel at the moment the need to rush
• We need to think like a long-distance runner

No rush but the signs are pointing to at least a 25 bps move in December again. That being said, traders are still pricing in a ~26% probability of a 50 bps move for the time being as well.

This article was written by Justin Low at www.forexlive.com.