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The European Central Bank could cut interest rates in both June and July, and there is a greater than 50% probability of more than three rate cuts this year, Lithuanian policymaker Gediminas Simkus said on Monday.
Markets currently price in just three moves this year, most likely in June, September and December, as expectations have receded on fears that the U.S. Federal Reserve will delay its own policy easing until the autumn.
"There is a more than 50% probability that there will be more than three rate cuts this year," Simkus told reporters in Vilnius. "Three rate cuts is a conservative estimate." (Reporting by Andrius Sytas, writing by Balazs Koranyi, Editing by William Maclean)