ECB’s Rehn: The scale is tipping towards a rate cut in October

Slowing inflation means more reasons to justify October rate cut in my viewRecent weakening in growth outlook also tips the scale in the direction of OctoberBut should closely monitor data and perform comprehensive analysis before deciding

This is the first sign that any ECB policymaker is explicitly making a call for October. It shows how central banks have a pension for giving in to markets at times. And also how quickly the narrative can shift from one meeting to another. 10-year German bond yields are now down 6 bps to 2.07% – its lowest since January.

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