ECB's interest rate path is clearer than Fed's

According to Mars Finance, Jefferies Global Economist Mohit Kumar said that given that the ECB has already started to cut interest rates, its interest rate path is much clearer than that of the Federal Reserve. For the ECB's upcoming meeting on Thursday, Jefferies predicts that the bank will cut interest rates by 25 basis points, in line with market expectations. He said in a report: "We expect the ECB to cut interest rates at a gradual rate of 25 basis points per quarter at the next meeting, depending on the data, and reduce interest rates to below 3%." Kumar said that if economic growth and inflation data are in line with expectations, the ECB's interest rate trough is expected to be around 2.50%-2.75%. The ECB's current deposit rate is 3.75%. (Jinshi)