European Central Bank Expected To Implement Bold Rate Cut In December

According to Odaily, Andrew Kenningham, an analyst at Capital Economics, stated in a recent report that the European Central Bank (ECB) might adopt a more aggressive approach in its upcoming policy meeting by implementing a significant rate cut. A survey released on Thursday indicated that private sector activity in the Eurozone remained stagnant this month, highlighting severe economic weakness as the final quarter of the year begins. Kenningham noted that inflation is cooling down, which could lead the ECB to conclude that its policies no longer need to restrict economic activity. This suggests that the ECB might opt for a 50 basis point rate cut at its December meeting, a more substantial reduction compared to the previous 25 basis point cut.