ECB Faces Internal Debate Over Future Interest Rate Cuts

As inflation shows signs of easing, ECB members are divided on the pace of further rate reductions.

ECB President Christine Lagarde emphasizes a cautious approach to determining the pace of interest rate cuts based on current data.
Bundesbank Chief Joachim Nagel warns against hasty decisions on further rate reductions, advocating for a session-by-session evaluation.
Recent rate cuts have reduced the ECB's key interest rate to 3.25% as inflation declines from previous highs.
Some ECB members, like François Villeroy de Galhau and Fabio Panetta, support more aggressive rate cuts to boost economic growth.
Nagel predicts continued decline in inflation across the Eurozone next year, urging careful consideration of economic indicators before further action.