ECB's Rehn: Rate cuts can continue if downward inflation trend strengthens

[August 07, 2024]  HELSINKI (Reuters) - The European Central Bank can continue cutting interest rates if confidence in the slowing inflation trend strengthens in the near future, Finnish ECB policymaker Olli Rehn said in a speech on Wednesday.  

A view outside the European Central Bank (ECB) headquarters in Frankfurt, Germany July 18, 2024. REUTERS/Jana Rodenbusch/File Photo

"Inflation continues to slow down but the path to the two percent target remains bumpy this year," Rehn said.

He added the rate cuts would help the eurozone economy recover, in particular the "fragile" industrial growth and subdued investments.

(Reporting Essi Lehto, editing by Anne Kauranen)

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