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ECB’s Šimkus Signals Possible Rate Cut Amid Rising Inflation Risks

Elena by Elena
28/05/2025
in ECB
What is a foreign exchange dealer
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European Central Bank Governing Council member Gediminas Šimkus warned on Tuesday that the risks of inflation falling below the ECB’s target have intensified.

Šimkus indicated potential for an interest rate cut as early as June, citing downside risks to inflation driven by ongoing trade tensions with the United States and a stronger euro. He also noted that current borrowing costs are at the higher end of the neutral range, suggesting limited room for further tightening.

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The euro responded to these remarks by weakening, with the EUR/USD pair slipping 0.40% to 1.1339.

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Elena

Elena

Elena, a seasoned foreign exchange trader with a proven track record in the dynamic world of currency markets, brings a wealth of expertise and professionalism to the financial realm. With an extensive background spanning over a decade, she has honed her skills in analyzing global economic trends and implementing strategic trading solutions. Known for her meticulous attention to detail and analytical prowess, Elena has navigated through volatile market conditions with finesse, consistently delivering impressive results for her clients. Her comprehensive understanding of macroeconomic indicators, coupled with a keen awareness of geopolitical events, allows her to make informed decisions that optimize trading portfolios. Elena's commitment to staying ahead of the curve is evident in her continuous pursuit of knowledge and mastery of cutting-edge trading technologies. Her disciplined approach to risk management ensures prudent investment strategies, instilling confidence in both colleagues and clients alike.

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Recent Posts

  • USD Edges Up as USD/CAD Nears Key Support Amid Debt and Tax Concerns 28/05/2025
  • Pound Strengthens as US Tariff Delay Boosts Sentiment 28/05/2025
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  • Minneapolis Fed’s Kashkari Backs Holding Interest Rates Amid Tariff Uncertainty 28/05/2025
  • Is the US Dollar Index Crash Finally Over 28/05/2025

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