European Central Bank Governing Council member Peter Kazimir said on Monday that the ECB is likely nearing the end of its easing cycle, if not already there. The official noted continued risks to growth and lingering uncertainty about future price dynamics and stressed that incoming data throughout the summer will provide a clearer picture and guide the ECB's decisions on whether further fine-tuning is needed.
Kazimir also emphasised the need to keep all options open, adding that the recent rate cut has brought policy into neutral territory without compromising our ability to respond if inflation were to pick up again.