Editorial: La Vanguardia

• The European Central Bank (ECB) has lowered interest rates for the third time since June to 3.25%.
• A large majority of analysts predict that this trend will continue until reaching 2%, which is considered neutral for the economy.
• The ECB indicates any future reduction will depend on the evolution of economic data.
• Germany, the primary economy in the eurozone, is in recession.
• Despite signs of disinflation, the ECB has not reduced interest rates as rapidly as expected.
• The ECB hesitates in reducing further the interest rates due to the instability of oil and gas prices, and wage increases in the eurozone.
• Underlying inflation was 2.7% in September.
• The private sector in the eurozone has contracted activity for the first time in seven months.

---