European Central Bank's Centeno signals earlier-than-expected rate cuts

<p>ECB member and Bank of Portugal governor Mario Centeno spoke on Tuesday in an interview with Econostream Media. ICYMI:</p><p>Centeno said rate cuts from the European Central Bank could come sooner than the market expects</p><ul><li>should not wait until May to make a decision</li><li>there are no signs of additional pressure on inflation</li><li>rates have peaked</li><li>expects inflation to have fallen to target in Q2</li><li>"The decision to keep nominal rates steady for the moment is appropriate and we will decide when to cut them sooner than we thought until recently," </li><li>"I can't say when, but I can … say the most recent developments on inflation and the economy have obviously brought the moment of easing (of monetary policy) closer" </li></ul><p>BNP Paribas much the same:</p><ul><li><a href="https://www.forexlive.com/centralbank/bnp-paribas-am-says-the-ecb-is-likely-to-cut-before-the-fed-march-or-april-possible-20240109/" target="_blank" rel="follow" data-article-link="true">BNP Paribas AM says the ECB is likely to cut before the Fed – March or April possible</a></li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.