Lagarde speech: Rate cut justified by confidence in path ahead
Christine Lagarde, President of the European Central Bank (ECB), explains the ECB's decision to cut key rates by 25 basis points in June and responds to questions from the press.
Key quotes
"Interest rate cut is justified by confidence in the path ahead."
"Robustness of fourth quarter 2025 inflation projection formed basis of rate cut decision."
"Decision and data releases are not perfectly synchronized."
"Not going to tell you until much later in summer if we do something now or at another point in time."
"We will need more data to constantly confirm disinflationary path."
"We're more restrictive in real terms than back in September."
"There will be other bumps on road."
"Some bumps can be anticipated, like base effects."
Economic Indicator
ECB Press Conference
Following the European Central Bank’s (ECB) economic policy decision, the ECB President gives a press conference regarding monetary policy. The president’s comments may influence the volatility of the Euro (EUR) and determine a short-term positive or negative trend. If the president adopts a hawkish tone it is considered bullish for the EUR, whereas if the tone is dovish the result is usually bearish for the Euro.
Read more.Last release: Thu Apr 11, 2024 12:45
Frequency: Irregular
Actual: -
Consensus: -
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Source: European Central Bank
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.
