European Central Bank Governing Council member Olli Rehn said on Tuesday that eurozone inflation is clearly stabilising at the 2% target. The official emphasised that the direction of the ECB's monetary policy is clear, while the speed and scale of rate cuts will be determined at each meeting based on incoming data and comprehensive analysis.
He also noted that monetary policy is expected to cease being restrictive by late winter or early spring.
Rehn highlighted the need to prepare for a scenario, where the European Union could face higher tariffs and added that more information on U.S. trade policy decisions should be available by the next ECB meeting.
Rehn stated that he finds it right to continue with the rate-cut cycle once the new year starts.