ECB’s rate cutting

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Monetary policy at stake

MADRID | By J.P. Marín Arrese | Pressure is mounting on the European Central Bank. Observers blame it for an overcautious approach to rate cutting. They openly express contempt at its reluctance in setting up aggressive asset-buying schemes. Even the IMF advocates an across-the-board cheap money stance. As the ECB fails to act when inflation rates sink far below the 2% target and credit is faltering, most believe Draghi remains hostage to hardliners in Germany.