Third down. The European Central Bank lowers its benchmark interest rate by 0.25 points

This is the third decline since the European Central Bank, at the beginning of the summer, began a path of easing monetary policy.

This third cut comes because the ECB realizes that inflation is slowing and could approach its 2% target more quickly than expected. The European Central Bank said: “The information received on inflation shows that the deflation process is on the right track.”“Inflation prospects are also affected by recent negative surprises in indicators of economic activity,” Christine Lagarde admitted.

Regarding the strategy to be followed regarding interest rates, the European Central Bank said “He doesn't pre-commit to a path at specific rates,” he highlights Decisions will be made at each meeting From the Board of Governors.

However, in her usual press conference, the ECB President reiterated her willingness to do so Use “all mechanisms” So that Inflation reaches the desired target of 2%..

The meeting of the Eurozone Central Bank Governors Council was held this time in Slovenia.

the Monetary easing begins in mid-2024 After a Escalation in rates From July 2022 to September 2023, which Increase interest rates by 450 basis points (4.5 percentage points).