Is Austria’s Nowotny setting the stage for the ECB to cut rates below their record low 1%?

Sounds like it to me. Coming from the Germanic wing of the euro zone, these are particularly interesting comments.

Recall yesterday, German inflation fell to 0.8% year-over-year, miles below the ECB’s 2% target….

Stock markets would love lower rate talk while the euro would likely react less well to lower rates.