ECB’s Rehn: Direction of monetary policy is clear

Our monetary policy stance is becoming less restrictivePolicy direction is clear as rate cuts have already begunPace and scale of rate cuts will be decided meeting by meetingSees inflation stabilising at 2% target during 2025

It’s the first chance for the ECB to confirm market expectations of a rate cut later this month but they’re still sticking to the “meeting by meeting” stance for now. The euro is still down against the dollar today though, with EUR/USD now down 0.2% to 1.1109 at the lows for the day. Large option expiries at the 1.1100 level are now in focus.

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