1120 GMT - The European Central Bank is set to cut interest rates by 25 basis points on June 5 and maintain its meeting-by-meeting approach to the policy outlook, SEB Research's Jussi Hiljanen says in a note. "The trade war, negative growth impacts, and ongoing disinflationary trend support prospects for further rate cuts beyond June, but we expect the ECB to maintain a data-dependent, meeting-by-meeting approach," the chief strategist says. A rate cut in June would bring the deposit rate to 2.00%. SEB expects cuts in July and September, which would lower the deposit rate to 1.50% in September. However, Hiljanen acknowledges the risk of a slower pace of rate cuts after June. (emese.bartha@wsj.com)

(END) Dow Jones Newswires

May 28, 2025 07:20 ET (11:20 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.