The ECB stressed that it is open to further rate cuts

On April 17, Mark Wall, chief European economist at Deutsche Bank, said that the comments made by the European Central Bank after the interest rate cut hinted that monetary policy would be further eased if the trade shock persisted. He said in a note that policymakers' forward-looking views on the economy meant that tariffs were expected to take a hit. "The description of the 'exceptional' uncertainty implies that the ECB is open to further easing monetary policy if the trade shock persists and is confirmed by the data," Wall said. However, the ECB removed the language of "restrictive" policy and hinted that the economy is resilient to global shocks, referring to dynamic factors such as labor hoarding. He said the ECB could cut rates again in June and cut rates to 1.5% by the end of the year.