European flags are seen in front of the European Central Bank (ECB) building, in Frankfurt, Germany, July 21, 2022.
Price pressures are easing and the economy is slowing to a point that a recession may already be underway, making any further rate hikes increasingly unlikely.
Meeting in Athens for the first time in over a decade, the Governing Council is expected to have an easy time deciding on rates.
Others argue that growth prospects are deteriorating so quickly that the ECB would be better served with a "neutral" guidance, emphasizing data dependency.
This suggests that any change in the scheme will be gradual, so the ECB can protect Italy as long as possible.
Persons:
Wolfgang Rattay, Martin Wolburg, Wolburg, Frederik Ducrozet, reinvestments, Balazs Koranyi, Emelia Sithole
Organizations:
European Central Bank, REUTERS, ECB, Generali Investments, Wealth Management, Thomson
Locations:
Frankfurt, Germany, FRANKFURT, Athens, Italy