Lagarde Reiterates The ECB Is In No Rush To Change Rates Anytime Soon
Summarize this article with:
ING Economic and Financial Analysis4.97K FollowersFollow5ShareSavePlay(6min)CommentsSummaryThe ECB keeping interest rates unchanged for more than six months is sending a strong signal that it would need a severe downward shift in inflation and growth (expectations) to get the central bank into cutting mode again.During the press conference, ECB president Lagarde not only confirmed the relatively benign macro outlook, but also stressed the so-called optionality for future meetings. According to Lagarde, all options - cut, hike, on hold - remain equally on the table.While the decision to keep interest rates on hold was expected, all eyes were on the latest ECB staff projections. The inflation forecasts, in particular, provide more evidence that the Bank's current "good place" is also the right place. Stephan Behnes/iStock via Getty Images By Carsten Brzeski, Global Head of Macro We last had an ECB rate cut in June, and keeping interest rates unchanged for more than six months is sending a strong signal that it would needThis article was written byING Economic and Financial Analysis4.97K FollowersFollowFrom Trump to trade, FX to Brexit, ING’s global economists have it covered. Go to ING.com/THINK to stay a step ahead. We’re sorry we can’t reply to individuals' comments.Content disclaimer: The information in the publication is not an investment recommendation and it is not investment, legal or tax advice or an offer or solicitation to purchase or sell any financial instrument.This publication has been prepared by ING solely for information purposes without regard to any particular user's investment objectives, financial situation, or means. For our full disclaimer please click here.