ECB's Lingering Inflation Risks Warrant Caution, Patsalides Says.

The European Central Bank is considering further interest rate cuts as inflation nears its target, but Governing Council member Christodoulos Patsalides warns of potential upside risks. Patsalides advocates for cautious steps to avoid volatility and uncertainty, emphasizing the need to assess new data before making decisions. While the euro-area economy is slowing, Patsalides believes a soft landing is possible, but warns of risks such as trade wars and geopolitical shocks. [Extracted from the article]