ECB President Lagarde pushes back against acting ‘hastily’ over interest rate hikes
Financial markets that have been pricing in faster-than-expected European interest rate hikes should, as they say, cool their jets.
That’s according to European Central Bank President Christine Lagarde, who pushed back at speculation in an interview with RND Germany that published Friday. The comments came in response to a question as to why the central bank doesn’t just fight higher prices with interest rate increases.
“This would not solve any of the current problems. On the contrary, if we act hastily now, our economies could recover significantly worse and jobs would be at risk. That wouldn’t help anyone,” she said. The euro EURUSD, -0.18% slipped 0.3% to $1.1392. European stocks lost ground in early action, with the Stoxx Europe 600 SXXP, -0.66% slipping 0.6%.
Follow & share @TransAmericanFriends
