ECB's Muller: Market rate cut bets are aggressive, but wage data not in-line with inflation

European Central Bank (ECB) Governing Board Member and Governor of the Central Bank of Estonia Madis Müller added his comments to his cohort's messages to the market on Tuesday.

ECB policymaker Madis Müller noted that market rate cut hopes have run too far ahead of the ECB's current trajectory, and that wage growth figures continue to run against the grain of current inflation expectations.

Key highlights:

• Market expectations for ECB rate cuts in 2024 are too aggressive, don't match the data currently facing the central bank.
• Euro area wage growth remains misaligned with current inflation targets.
• ECB can't move on rates until the data reflects desires price growth conditions.