ECB’s Escrivá: A 25 bps cut next week is a likely scenario

European Central Bank (ECB) policymaker José Luis Escrivá said on Wednesday that “a 25 basis points (bps) cut next week is a likely scenario.”

Additional quotes

ECB needs to wait for hard data to confirm forecasts.

Incoming information points towards converging to 2% inflation goal.

It is unclear whether there will be inflation spillovers from US policy.

To retain full optionality is more important than ever.

Market reaction

EUR/USD extends the rebound to near 1.0450 following these comments, up 0.18% on the day at press time.