European Central Bank officials are considering pausing interest rate cuts in July, some officials believe that 2% is the ultimate target.

According to informed sources, European Central Bank officials are expected to suspend interest rate cuts at the next policy meeting in July. Given the uncertainty of President Trump's tariff policies, the most likely scenario at the moment is to pause interest rate cuts after eight reductions. The sources refused to disclose their names, as the discussions are confidential. Some officials believe that the lowering of borrowing costs may have already ended, while others still support further rate cuts possibly in September. They emphasize that the thoughts of policymakers may change as the deadline for U.S.-EU trade negotiations approaches on July 9th.