Nordea: The risk of a 50 basis point cut by the European Central Bank cannot be ignored

Jinshi data, December 12 news, Nordic Union Bank stated that the European Central Bank may cut interest rates by another 25 basis points, but there is also a significant risk of a 50 basis point cut. The internal division within the committee has intensified again, and it is not easy for Lagarde to obtain another consensus compromise. One possible compromise is to cut 25 basis points, while providing some guidance, indicating that as long as the European Central Bank’s benchmark remains unchanged, there may be another rate cut in January. Our benchmark expectation is still to continuously cut interest rates by 25 basis points before the meeting in April next year, when the deposit interest rate is expected to reach 2.25%.