TD Securities' Macro Research team expects the European Central Bank to continue a measured tightening cycle, delivering a final 25 basis point hike in December that would take the deposit rate to 2.75%, a level the firm views as mildly restrictive. The call points to a measured pace of tightening rather than an aggressive one, with the December move framed as the last step in the current cycle. TD Securities sees the resulting 2.75% deposit rate as only mildly restrictive, implying limited further room for policy tightening beyond that point. The view is attributed to the firm's Macro Research team.
Toronto Dominion BankTD Securities expects the ECB to deliver a final 25bp hike in December, tightening policy and supporting the euro
