More from Villeroy: We need to take out insurance against a hard landing by starting cut

Villeroy suggests taking proactive measures for a potential economic downturn by initiating rate cuts sooner rather than later, independent of US Federal Reserve actions.

Villeroy adds:

We need to take out insurance against a hard landing by starting to cut rates.
Whether in April or June, the exact date of first rate cut is not or existentially important.
First rate cut should come in spring and come independently of the US Federal Reserve timeframe.
We will likely start with a moderate cut after that we don't have to cut at each meeting though we should keep that option..

The EURUSD is softening a bit and trades at 1.0788. That takes the prize below the swing area between 1.0795 and 1.08036 (see yellow area on the chart below).