ECB’s Rehn Favors a Rate Cut in June If Justified by Forecasts

The European Central Bank should cut its interest rate next month if its new forecasts confirm an outlook of disinflation and waning growth momentum, according to Governing Council member Olli Rehn.

Speaking in Helsinki on Friday, the Finnish central bank governor signaled his openness to an eighth reduction at a time when US tariffs are presenting policymakers with “exceptional uncertainty.”

“Against this background of disinflation on track and growth having weakened, in case this is going to be confirmed in our June forecast, then in my view in order to achieve our 2% symmetric inflation target over the medium ...