Bank of America: The European Central Bank's rate cut may exceed market expectations

ChainCatcher News, a report from Bank of America analysts states that the European Central Bank's interest rate cuts may exceed market expectations. They indicated that the European Central Bank seems to have opened the door to gradual rate cuts in successive meetings, temporarily addressing the question of how quickly rates will be cut, but not answering how much the cuts will be. "Our answer is: far beyond general expectations and far beyond market pricing." Market pricing indicates that the European deposit rate will drop from the current 3.50% to 2.00%. Currently, the market has fully priced in a 25 basis point cut by the European Central Bank at the October meeting. (Jin Shi)