ECB to discuss interest rate reduction roadmap ahead of its summer break

Interest rate reductions and hikes immediately impact tracker mortgage holders who have felt the brunt of a high interest rate environment over the last two years

Martin Wolburg, senior economist at Generali Investments, said he expects ECB president Christine Lagarde to take “a dovish wait-and-see stance” at the July meeting with other experts and brokers predicting one more rate cut this year that will likely happen when the regulator reconvenes in September. Pic: AP Photo/Michael Probst, file

Inflation has cooled significantly since highs recorded in 2022 and wage growth is set to ease across the eurozone, but some analysts forecast a cautious approach to interest rate reductions by the European Central Bank (ECB) at its July meeting.

The regulator is set to meet on Thursday, July 18, to discuss its interest rate reduction roadmap ahead of its summer break in August.