ECB may stop cutting rates this year as economy grows and wages rise: agency

Analysts believe that economic growth in Europe is set to pick up and that real wages are rising positively, making it less likely that the European Central Bank will cut interest rates in the coming months. The European Central Bank in deciding the degree and speed of easing policy attaches great importance to wages, emphasizing that wages are a key factor in assessing the inflation outlook. And real wages in the eurozone have been rising for almost a year. The ECB is expected to keep its main refinancing rate unchanged at 4.25% today, and its prospects for a cumulative cut of 45 basis points by the end of the year and nearly 100 basis points by June next year are waning.