According to research team at ABN AMRO, the tone of three historically hawkish ECB officials, who spoke yesterday, indicates a clear shift in thinking at the ECB given the slowdown in economic growth.

Key Quotes

“Overall, it is interesting to note that all three of these Governing Council members were advocating policy rate hikes as soon as possible not long ago.”

“The slowdown in economic growth seems to have changed their thinking on this and the shift of the hawks is important in signalling that policy rates are unlikely to go up this year.”