DWS economists: Expect the European Central Bank to cut interest rates again in September

ChainCatcher news, DWS economist Ulrike Kastens stated in a report that the inflation data from the Eurozone indicates that the European Central Bank's 2% inflation target is unlikely to be achieved soon. She noted that high wages in the service sector suggest that prices will continue to rise, and inflation rates will continue to fluctuate in the coming months. However, this is unlikely to change the European Central Bank's future monetary policy, especially considering that the weakness of the European economy will exceed the European Central Bank's expectations. She expects the European Central Bank to cut interest rates again in September. As long as there is a possibility of reaching the inflation target in the medium term, the European Central Bank should remain prepared to further adjust its monetary policy.