European Central Bank (ECB) Governing Council member Olli Rehn said on Friday that the slowdown in inflation alongside weakness in the Eurozone economy strengthened arguments to lower borrowing costs next month, per Bloomberg. 

Key quotes

The growth outlook in Europe, especially manufacturing, is rather subdued.

In my eyes, this enforces the case for a rate cut in September.

We already have plenty of data to make our decision in September.

Disinflation and a weak economy support a September cut.

Downtrend in inflation is on track.

We are still seeing strong services inflation.

The disinflationary process has been ongoing since autumn 2022 and it's still going on.

Asked about 50 bps, says they always have to be open.

Says he doesn't want to commit to anything, data-dependent.