More ECB cuts are coming but Dec discussion must wait, Nagel says

FRANKFURT (Reuters) – Friday’s unexpectedly weak survey on the health of the German economy merely confirm the country’s predicament and discussion on the possible size of the next ECB interest rate cut needs to wait, Bundesbank chief Joachim Nagel said on Friday.

“They are more or less confirming the overall picture that the German economy is stagnating this year, and the start next year will be complicated for sure,” Nagel said about fresh PMI data.

He added that new economic projections from the ECB due just before the Dec. 12 policy meeting will be crucial in deciding policy, so the discussion abut the exact move should wait, even if it was clear that more rate cuts are coming over the next year.