MNI BRIEF: ECB Data Focus Compatible With High-For-Long Rates
The ECB says rates will be held at a restrictive levels for a significant time despite being data-dependent.
European Central Bank policymakers are happy with its soft guidance for rates to be held at current levels for as long as necessary while maintaining its data-dependent stance, President Christine Lagarde said Thursday.
"Data dependency applies to both the determination of being sufficiently restrictive and length of time, we don't see any contradiction. one will drive the other," Lagarde told the press conference in response to a question from MNI.
Lagarde would not be drawn on whether the Governing Council's data-dependency could trigger a rate cut if growth slowed further and faster than currently envisaged.