Piero Cipollone, a member of the European Central Bank’s Executive Board, stated in a scheduled speech on Wednesday that the ECB still has the capacity to swiftly reduce interest rates, even in the face of a rebound in wages.
Cipollone emphasized the importance of a recovery in salaries for Europe’s struggling economy to regain momentum, highlighting that the ECB is far from reaching a neutral rate and has room to make adjustments.
Despite these remarks, the Euro remains steady, with EUR/USD trading within a range around 1.0830 at the time of writing.