The next European Central Bank monetary policy meeting is on December 12. TD are expecting another rate cut (the ECB cut by 25bp last week).
TD cites:
- ECB officials (members of the Bank's rate setting committee, the Governing Council) have opened up the door sidely to cuts
- the data-dependent 'one meeting at a time' messaging is still there but anything other than a December rate cut is unlikely
Indeed, Villeroy repeated the data-dependent messaging on Saturday. Who is he kidding? The EU economy is in deep doo-doo, and he expects inflation at target in the next few months:
Anyone up for a 50bp rate from the Bank on December 12? Merry Christmas.
