European Central Bank Governing Council member Martins Kazaks acknowledged on Friday that interest rates in the Eurozone should start to go down but warned against rushed decisions on rates. “That would be by all means worse than waiting just a bit,” he stated, noting that "if one starts to be relaxed too early then there’s the risk that inflation starts to come back and then one would need to raise rates much more.”
The official urged the ECB's policymakers to be patient for now and analyze more data on wages and their impact on underlying inflation before starting the rate-cutting process.