Analyst: The European Central Bank is expected to further cut interest rates

Kaiyuan Macro analyst Jack Allen-Reynolds said that the preliminary PMI shows that economic activity in the euro zone continues to slow down this month, which will further stimulate the European Central Bank to cut interest rates. The PMI is still below the level of October, and from past experience, this is consistent with economic contraction. This will reinforce the view of decision-makers at the European Central Bank that they should further cut interest rates on top of last week's reduction in borrowing costs.

Earlier on Monday, Christine Lagarde, President of the European Central Bank, stated that due to potential new tariffs imposed by America hitting European exporters, it was necessary for the European Central Bank to lower interest rates again.