Lagarde: Underlying inflation dynamics 'strong'
European Central Bank President Christine Lagarde on Wednesday underscored that the dynamics of the underlying inflation across the region remain "strong," with no indication that the trend is declining.
"Falling energy prices are weakening a key driver of underlying inflation pressures," Lagarde said, adding that this disinflationary trend could somewhat be countered by rising domestic prices. "We are neither committed to raise further nor are we finished with hiking rates," she stressed, adding that it is crucial to make the central bank's monetary policy decisions based on data given the high level of uncertainty.
Since last July, the ECB raised interest rates by 350 basis points, Lagarde pointed out in her remarks at the conference in Frankfurt.