Bank of New York Mellon: Room for further easing by the European Central Bank will reopen

Eurozone government bond yields also rose, led by higher US and Japanese bond yields. However, the focus of the market is gradually turning to the European Central Bank's interest rate meeting on Thursday. Although the market is widely expected that the European Central Bank will hold its ground, Geoff Yu, strategist at Bank of New York Mellon, said that the room for further easing of policy by the European Central Bank will be reopened. He pointed out that unexpectedly low inflation in the Nordic countries and uncertainty over tariffs and trade negotiations mean that from the perspective of the European Central Bank, there may be a negative surprise for future economic growth. Nonetheless, Bank of New York Mellon forecasts that the European Central Bank may not start cutting interest rates until September at the earliest. (Jin Ten)