(Bloomberg) -- European Central Bank Executive Board member Isabel Schnabel said growth momentum in the euro zone has gathered some pace recently, adding to optimism that the economy has left the worst of its crisis behind. 

“We’re currently seeing a slight revival of the economy in the euro area,” Schnabel told German broadcaster ARD. “At the same time, inflation continues to retreat. Therefore, there’s reason for hope that we’ll succeed in returning to price stability without experiencing a recession.”

Policymakers are currently preparing for a crucial meeting in two weeks, at which they’re widely expected to cut interest rates for the first time since concluding an unprecedented tightening campaign. Schnabel reiterated such intentions, without offering any clues on subsequent steps.

“If inflation projections and new data confirm our current outlook, an interest-rate cut in June is likely,” she said. “We should definitely be cautious and monitor data carefully to see in time if inflation doesn’t develop as we currently expect.”

She added that wage growth is “gradually slowing down” following strong gains, and argued that dangers of wage-price spirals are lower today than in the 1970s.

The remarks follow warnings from Schnabel last week that the ECB shouldn’t rush rate cuts after June. There’s a “risk of easing prematurely,” she said then — sentiment echoed by Bundesbank president Joachim Nagel on Tuesday.

Still, recent remarks from other members of the Governing Council suggest consensus is building around three quarter-point reductions this year, in line with market expectations.

(Updates with more Schnabel comments starting in fourth paragraph)

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