The size of the euro zone's domestic market make the pace of future ECB interest rate cuts less dependent on U.S. moves, ECB policymaker Francois Villeroy de Galhau said on Wednesday, pushing back on warnings that it should not get too far ahead of the Fed.

The ECB has flagged a first rate cut at its June meeting and Villeroy reiterated that the pace after that would be decided meeting-by-meeting depending on the flow of economic data and forecasts.

Belgian central bank chief Pierre Wunsch said on Tuesday that a delay in rate cuts by the U.S. Federal Reserve could slow the pace of ECB rate cuts.

Villeroy, who is also the French central bank governor, said that variations in the euro dollar exchange rate accounted for less than 10% of euro zone inflation.

"I must stress that one of the advantages of having the euro is the vast domestic market that makes (us) less dependent on American decisions," Villeroy told the finance commission of France's lower house of parliament.

Financial markets see the Fed remaining on hold until November, with the first cut expected by markets just days after the U.S. election, as U.S. inflation is proving more sticky than previously thought. (Reporting by Leigh Thomas; Editing by Hugh Lawson)