On October 12, 2024, the European Central Bank (ECB) is anticipated to announce an interest rate cut, marking a significant shift in its monetary policy. This decision comes as policymakers aim to address the economic slowdown in the euro zone, which has been exacerbated by prolonged high borrowing costs.
Economists believe that this rate cut will be the third quarter-point reduction in the current cycle and could signal a more sustained approach by officials to stimulate growth. The move reflects growing concerns about the impact of previous interest rates on economic activity, with policymakers now seeking to cushion the region's economy.