According to Jinshi, Portuguese central bank governor and ECB board member Centeno said the ECB may have to speed up the pace of interest rate cuts as data released since last week's rate cut showed that economic growth and inflation may be lower than the ECB's new forecasts.
Centeno said the risk of lower-than-expected interest rates must be minimized as the main risk, and his comments suggested an October rate cut was still possible.
ECB President Christine Lagarde signaled last week that no further action would be taken before December. While ECB Chief Economist Ryan confirmed that policymakers should remain selective about cutting rates in October, hawks on the Governing Council stressed that a major shift would be needed to consider consecutive rate cuts.
