Barclays: ECB likely to cut interest rates in December

Mars Finance News: Barclays currently believes that the European Central Bank may choose to cut interest rates once in December, rather than the previously predicted September. The bank's economist, Mariano Sena, said that this revision takes into account the economic activity's weakness in the second half of the year, which is caused by the continued drag of trade policies and the impact of early imports from the United States. Barclays expects that by December, signals of trade headwinds will become clearer, and concerns about supply chain disruptions affecting inflation will decrease. Additionally, confidence that the 2026 fiscal plan will not reignite inflationary pressures may increase, supporting a 25 basis point rate cut. Barclays predicts that the European Central Bank's terminal deposit rate will remain at 1.75% by 2026. (Jinshi)