Citigroup expects ECB to cut policy rates by 25 bps at October meeting By Reuters

(Reuters) – Citigroup said it now expects the European Central Bank (ECB) to cut interest rates by 25 basis points at its meeting on Oct. 17, according to a note on Tuesday.

The intermediary said this revision comes after ECB President Christine Lagarde, in her hearing at the European Parliament, said that the Council’s confidence in the timely return of inflation to the target had increased and that the Council would take this into account in its next meeting of politics this month. .

The brokerage still expects further cuts in December and early 2025 to take the policy rate to 1.5% by September 2025.