ECB to Continue Rate Cuts Despite Weakening Economy, Poll Shows

The European Central Bank (ECB) plans to continue cutting interest rates despite signs of slowing economic growth in the eurozone. According to a Bloomberg poll, most experts believe that the regulator will accelerate rate cuts at its upcoming meeting scheduled for next week. By lowering interest rates, the ECB aims to support economic activity and prevent further recession risks.

During the poll, analysts cautiously assessed the prospects of the eurozone economy, pointing to increasing inflation expectations and uncertainty related to global economic conditions. Some experts predict that rate cuts may provide only temporary relief, as longer-term issues such as international instability and labor shortages continue to pressure the region's economy.

Despite negative forecasts, many economists note that the ECB may not be able to maintain its current monetary policy without creating additional risks to financial stability. At the same time, support from the central bank could inspire investors and possibly aid in economic recovery.

The ECB's upcoming decisions will be closely monitored by financial markets, as they can significantly impact the euro's exchange rate and borrowing costs. Considering all factors, some experts are questioning whether such extreme intervention is necessary given the rising prices of energy resources and commodities.

In conclusion, the ECB's rate-cutting policy carries its risks, but in the face of current economic uncertainty, the regulator needs to act decisively to prevent further deterioration and support economic recovery in the eurozone.

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