MNI BRIEF: Knot Comfortable With Next Two ECB Rate Cuts

Dutch National Bank President Klaas Knot says he is comfortable with market expectations for interest rate cuts at the next two meetings of the ECB Governing Council.

In an interview with Bloomberg TV Wednesday, Knot said he was less certain about cuts beyond that time horizon as the ECB gets closer to the neutral rate of interest. 

"With each rate cut we are getting closer and closer to neutral and conceptually there is some difference between removing restriction, which is what we are doing now, and if necessary going to a more stimulative policy," Knot said.   (see MNI: Energy Little Threat To ECB’s Inflation Target- Officials )