European Central Bank Vice President Keldos warned that it is still too early to assert the inflation situation even after the surprising September data.
"We can't declare victory," he said on Friday. "That's because the inflation in the service sector is still quite high - although it has been slowing down, but only very, very, very slightly."
The euro area inflation rate fell to 1.8% in September, the first time since 2021 that it fell below the European Central Bank's 2% target. However, inflation rates may rise again towards the end of the year due to the suppression of energy cost fluctuations. Other indicators also remain high.
Keldos emphasized, "(whether to cut interest rates) will largely depend on the evolution of wages, productivity, and unit costs, which are events we must pay attention to. However, forecasts indicate that the inflation rate will remain very steadily at 2% by the end of next year."