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Lagarde: Hike or pause next? "A Decisive Maybe"

ECB
  • Q: You are suggesting a possible pause in rates in the near future. Does that mean during this period we could see an acceleration of QT as a trade-off between hawks and doves?
  • A: Our key instrument in the current circumstances is interest rates. There will be no trade-off between interest rates and QT. There is the possibility of a hike, or a pause. It is a decisive maybe. Don’t expect me to go one way or the other. The burden of proof is the data.

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