The European Central Bank won’t cut interest rates in the second quarter, Governing Council member Robert Holzmann said, adding that market expectations for a reduction are premature. The ECB may not yet have reached the end of its hiking campaign as the inflation outlook carries uncertainties related to wage dynamics and food prices, Holzmann told reporters in Vienna. He called money market predictions of monetary policy easing speculative arbitrage. “That would be somewhat early,” Holzmann said, referring to the second quarter. “We are still trying to communicate, please, don’t think that we are already at the end ... (full story)