Lagarde speech: Protectionism is inflationary in short term
Christine Lagarde, President of the European Central Bank (ECB), explains the ECB's decision to lower the benchmark interest rate by 25 basis points at the December policy meeting and responds to questions from the press.
Key quotes
"I don't think about market pricing of rate hikes."
"We have not discussed neutral rate level in this meeting."
"Protectionism is inflationary in the short term."
"PEPP flexibility has not been used since July 2023."
"US tariffs not incorporated into ECB projections."
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Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
