Institutions: ECB Expected to Cut Interest Rates by 25 Basis Points Next Week

On May 28, Bastian Freitag, an analyst at Rothschild Wealth Management, pointed out that the European Central Bank is expected to cut interest rates by 25 basis points next week, bringing the deposit rate down to 2.00%. The head of the German fixed income department stated that slowing inflation, stable inflation expectations, and weakening wage growth momentum all support the ECB's rate cut in June. The wealth management firm's base expectation is that after the rate cut in June, there may be a pause in action, although the possibility of further cuts to 1.75% cannot be ruled out.