European Central Bank Officials Debate Rate Cuts

European Central Bank (ECB) officials are divided over the potential for a significant interest rate cut in December, following recent back-to-back rate reductions for the first time in 13 years. While some policymakers, like Portuguese central bank governor Mario Centeno, advocate for a 50-basis-point cut due to easing inflation, others urge a cautious approach, emphasizing the need to analyze economic data before making decisions. ECB members, including Latvian governor Martins Kazaks, assert that all options should remain open but stress the importance of a measured pace in rate adjustments. The latest inflation figures have fallen below the ECB's target for the first time since June 2021, fueling speculation about further cuts. Additionally, U.S. Secretary of State Antony Blinken is actively seeking a resolution to the ongoing Gaza conflict amidst rising tensions and protests. Meanwhile, City of London firms are reporting increasing instances of bullying and harassment.