Central Banks
ECB’s Lagarde Warns Against Hasty Decision on Rate Cuts
- ECB chief sees wages gain importance as inflation driver
- Investors are favoring five quarter-point reductions in 2024
European Central Bank President Christine Lagarde cautioned against rushing into interest-rate cuts as rising salaries become an ever-more significant driver of inflation.
While disinflation is set to continue gradually in 2024, Lagarde told European Union lawmakers Thursday in Brussels that risks remain and policymakers need more assurance that price gains are headed back to the 2% target.