RBC analysts predict multiple interest rate cuts from the European Central Bank (ECB):

  • They foresee a 25 basis point cut at each meeting until May 2025, assuming inflation continues to decline.

This forecast was made before Thursday’s ECB meeting.

RBC maintained its prediction after the ECB’s recent cut:

  • The ECB is not in a hurry.
  • Political risks could affect the ECB’s decisions, especially concerning a potential Trump presidency.
  • They expect rates to reach neutral by summer 2025.

More on the ECB:

scissors cut