ECB board member Cipollone just dropped an interesting take: they're banking on savings rates cooling off. But here's the kicker—if consumers keep hoarding cash instead of spending, the central bank won't just sit back and watch. Policy tweaks could be on the table. Worth keeping an eye on, especially since liquidity trends directly impact risk asset flows.
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GasGrillMaster
· 14h ago
Deposit rates cooling down? It all depends on whether consumers buy into it or not... To put it nicely, it's a policy adjustment; to put it bluntly, it's the central bank being forced to step in😅
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TideReceder
· 19h ago
Nah, there's a bit of a problem with this logic. If consumers hoard cash, does the ECB have to change its policy? Do they want people to spend money or are they just watching liquidity? It feels a bit contradictory.
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BlockchainNewbie
· 12-04 08:45
Well, now this is interesting. If consumers are tightly holding onto their wallets, the ECB will have to worry too. Whether to cut or raise rates really comes down to whether people are willing to spend money or not.
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CryptoPhoenix
· 12-04 08:44
Wait a minute, when the central bank plays this "reserve requirement cut + liquidity injection" trick, can us retail investors really benefit from it? [wiping sweat]
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GasFeeWhisperer
· 12-04 08:43
It was already clear that a reserve requirement ratio cut was highly likely... If you can't see through it, just be prepared to get cut. Hoarding cash, on the contrary, is actually a signal.
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LiquidatedTwice
· 12-04 08:40
Here comes another "maybe" story... The ECB is hinting at a rate cut, sounds like they're trying to reassure the market.
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GweiObserver
· 12-04 08:34
ngl I'm tired of hearing this same rhetoric from the central bank... If consumers hoard cash, they're going to take drastic action—seriously? Liquidity does need to be monitored, but it feels like more hawkish talk again.
ECB board member Cipollone just dropped an interesting take: they're banking on savings rates cooling off. But here's the kicker—if consumers keep hoarding cash instead of spending, the central bank won't just sit back and watch. Policy tweaks could be on the table. Worth keeping an eye on, especially since liquidity trends directly impact risk asset flows.