ECB Vice President Guindos on interest rate decision: We must wait until June

European Central Bank (ECB) Vice President Luis de Guindos evaluated expectations for interest rate cuts in an interview with the Greek newspaper Naftemporiki.

Touching on high wage increases, Guindos said, "Looking at recent developments, we see this clearly in both headline and core inflation. The real risk is high wage growth and low productivity."

Stating that they have not yet discussed interest rate cuts, Guindos said they would be ready to talk about rate cuts in June in light of inflation, wage, and growth data.

"WE ARE NOT DEPENDENT ON THE FED"

Stating that there will be new projections in June and that they will make assessments based on them, the official said, "We will be data-dependent and will determine monetary policy accordingly. We expect inflation to be around our 2 percent target in the 12-18 month period."

Addressing the Fed, Guindos stated that they act independently, noting, "The Fed is, of course, the central bank of the world's largest economy, and we look at what is happening in the US economy. However, we are not dependent on the Fed, but on the data."

News Source: 12punto