FX.co ★ ECB Officials See No Urgency to Ease Further: Minutes

In the minutes from the meeting held on October 29-30, it was revealed that European Central Bank policymakers concurred that maintaining the status quo on interest rates was prudent amid prevailing uncertainty. A number of members even suggested that further easing may not be required. The Governing Council observed that the current state of monetary policy is advantageous, buoyed by a resilient economy and inflation nearing the target. Nonetheless, officials pointed out the dual nature of inflation risks and underscored the 2% deposit rate as “sufficiently robust” in mitigating potential disruptions. Given that both the economic and inflation outlook closely match the ECB’s projections from September, some policymakers contended that the cycle of rate reductions could have already concluded, contingent on the continuation of present favorable conditions. Others advocated for a completely open approach regarding future policy decisions.