Lates News

Christine Lagarde, President of the European Central Bank, stated that the decision to raise interest rates in June was the "right decision". She pointed out that in April, most of the Governing Council was already prepared to take action, but the information available at that time was not sufficient, so the decision was postponed until June. She emphasized that the current economy is still affected by external supply shocks, which are now spreading to a wider area, but the so-called "second-round inflation effects" have not yet appeared. Lagarde said that although the recent peace agreement between the US and Iran has caused oil prices to fall significantly, easing inflationary pressures, the indirect impact of rising prices is still spreading in the economy. The central bank will continue to closely monitor inflation risks.