The ECB started its rate cuts with a 25bp move, but did not want to give clear signals about future steps. With inflation forecast to return to target and rates remaining restrictive, we think the next cuts will take place in September and December. corporate.nordea.com/article/93571/ecb-watch-first-slice-hold-the-seconds pic.twitter.com/ErRXoC6nDv

🇪🇺 Quarterly ECB staff projections show inflation back at 2% in Q4 2025, one quarter later than in March. pic.twitter.com/jFj5Lhunro

🇪🇺 The ECB cut rates for the first time in nearly five years. The economy is recovering, the market is at all-time highs. This easing cycle will likely be bumpy, but the ECB looks on the right path. 🧵 pic.twitter.com/Wn5nlbZ42N

The ECB and the FED had data surprises that reinforced the Hawks’ views. For the EA, the May inflation estimate gave an increase to 2.6%, and Services’ inflation went from 3.7% to 4.1%. For the US, jobs growth was 272K v. expectations of 185K, showing a strong economy. 1/