Natixis analysts Alain Durre and Hadrien Camatte have indicated that the European Central Bank (ECB) may implement a final 25 basis point rate cut in December, but only if key economic conditions align. Their analysis suggests this decision is dependent on a significant slowdown in the labor market than previously anticipated, alongside inflation falling substantially below target due to decreased energy prices and an appreciating euro. Based on their estimations, there’s a 60% likelihood that the ECB will take this action during its December meeting, setting the terminal deposit rate at 1.75%. However, the upcoming Thursday meeting is expected to see the policy rate remain unchanged, keeping the deposit rate at 2.00%.