ECB President Lagarde: Inflation Threat Not Over, May Hold Off on Rate Cut This Month

European Central Bank President Christine Lagarde said that the ECB does not yet have enough evidence to show that the threat of inflation has passed, which exacerbated market expectations that the ECB may hold off on cutting interest rates this month. Lagarde pointed out at the opening of the ECB Forum that as the eurozone job market remains strong, the ECB has time to assess the information and that it is too early to claim victory after the price spike. In addition, Lagarde countered analysts' speculation that the ECB would only consider changing interest rates if there were new forecasts at the quarterly meeting.