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ECB Governing Council member Holzmann: September rate cut is not a "done deal"
ECB Governing Council member Holzmann warned that a rate cut next month is not a done deal, despite hints from several of his colleagues. "As always, I have reservations before decision day, and there is still a lot of data to come," the hawkish Austrian central bank president said at the Jackson Hole annual meeting.
"So I wouldn't say it's a done deal - of course some of my colleagues think so," he said in an interview on Friday. "I think we have to watch the data more carefully. I hope we can act, and I'm not against a rate cut, I just don't want to cut it too early."
Investors expect the ECB to announce a rate cut at its meeting in three weeks, but other officials, besides Holzmann, have stressed that the decision will depend on data in the meantime.
In the view of some, the European economy is becoming increasingly weak, especially in Germany, making another rate cut more likely.
