Lagarde points to summer as a “likely” time for ECB to cut interest rates

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European Central Bank (ECB) President Christine Lagarde.

European Central Bank (ECB) President Christine Lagarde.
EUROPEAN PRESS

Christine Lagarde pointed out that “probable” that European Central Bank (ECB) lowers interest rates in the “summer months”. In an interview with Bloomberg within the framework of the Davos Forum, the head of the monetary institution cooled down the option of making these cuts earlier and pointed to the summer period.

In December, the ECB kept interest rates at 4.5% and “unhedged”, cooling market expectations while also lowering its growth and inflation forecasts.

Interest rates therefore finished the year at their highest level since 2001, rising to 2.4% in November, after the currency decided to freeze interest rates last October after ten consecutive increases in the context of a contraction in the economy and a decline in inflation.

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