ECB Chief Economist Lane stated the central bank is ready to cut rates. We have heard this from other ECB governing council members, but Lane’s remarks come with the added authority and insight that only a chief economist can bring. Europe has (on a like-for-like basis) the same inflation as the US or the UK, and the ECB is not known for the speed of its decision-making. That the ECB looks to be first to cut rates may be due to the narrative around European growth, rather than the substance of economic data.
