On Monday, Simkus suggested that a rate hike might not be necessary at the year-end ECB meeting unless unexpected economic data emerges. He considers the existing restrictive levels adequate and does not anticipate a future rate surge. Simkus views the current inflation as overly high and labels discussions on rate cuts as premature.
Simkus’s stance indicates a cautious approach by the ECB towards monetary policy adjustments in light of ongoing economic uncertainties. This approach underscores the importance of data-driven decision-making in shaping monetary policy, particularly in an environment marked by high inflation.
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Source: Economy - investing.com
