ECB Nears Inflation Target, Eyes Further Rate Cuts

Francois Villeroy de Galhau, a key figure in the European Central Bank (ECB) Governing Council and Governor of the Bank of France, announced on Wednesday that the ECB is on the brink of achieving its inflation target. However, he hinted at more interest rate reductions in the coming months.

"Mission Accomplished" for Inflation, Says Villeroy

Speaking at the Atlantic Council in Washington, DC, Villeroy expressed confidence in the ECB's current trajectory. "We can now almost say: 'mission accomplished,'" he remarked, emphasizing the ECB's proactive stance compared to other major central banks like the Federal Reserve and the Bank of England.

Eurozone's Economic Outlook Amid Global Uncertainties

Villeroy also shared his optimistic view on the Eurozone's ability to dodge a recession, despite the global economic uncertainties fueled by US President Donald Trump's tariff policies. However, he cautioned that a potential recession in the US could have widespread repercussions, labeling it as "bad news for all, including for Europe."