Cœuré: central bankers must be mindful of possible ‘economic lower bound’
Negative rates are continuing to support eurozone growth, ECB board member argues
Interest rates in the eurozone have not reached an "economic lower bound" where further cuts would "cease to provide aggregate stimulus to the economy", Benoît Cœuré said on July 28. Several economists had raised the possibility that such a rate, also referred to as a "reversal rate", could exist, Cœuré said.
But the evidence was the eurozone had not reached this point, the executive board member of the European Central Bank (ECB) told an audience at the Yale School of Management in the US.
Bank
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