It is time for Trichet to cut interest rates

What will it take for the European Central Bank (ECB) to cut its interest rates?

9th August, 2008

What will it take for the European Central Bank (ECB) to cut its interest rates?

The signs are growing that the eurozone economy is heading for a sharp slowdown. Last week, German figures made particularly gloomy reading.

Yet, caught by its mandate, which focuses solely on fighting inflation, the ECB continues to appear more concerned about inflationary pressures than slowing growth.

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