ECB policymakers see steady rates next year but cut not off table, sources say

FRANKFURT, ‌Dec 18 (Reuters) - European Central Bank policymakers expect to keep ‍interest rates ‌steady next year but they are not yet ready ⁠to take a rate cut ‌off the table because the outlook is too uncertain, three sources told Reuters.

The ECB kept rates steady on Thursday and revised ⁠upwards some of its growth and inflation projections, a move interpreted by investors ​as closing the door to further rate ‌cuts.

But sources with direct knowledge ⁠of the discussion said there was no appetite at Thursday's meeting, which ended exceptionally early just after 0900 ​GMT, to declare the end of policy easing because uncertainty remains high. The ECB last cut rates in June.

Still, all three sources said that the most likely outcome ​was for ‍interest rates to ​remain unchanged over the course of 2026, in line with market expectations.

The sources said that most policymakers see risks around the growth outlook as broadly balanced, even if a few thought that growth could turn out lower than embedded in ⁠the ECB's own projections.

In the case of inflation, there was even less debate as ​most policymakers thought risks were balanced.

And ECB spokesperson declined to comment.

ECB President Christine Lagarde said the central bank remained "in a good place" but this was not "static", ‌meaning rates could still be changed and decisions would be made meeting by meeting.

(Reporting by Balazs Koranyi and Francesco Canepa)