He European Central Bank (ECB) He has complied with the forecasts this Thursday and has cut the interest rates in the Euro area in a curtillo (25 basic points), up to 2.9% (main rate) and 2.75% (deposit), in its fifth movement down since June 2024 and the consecutive room.
In cumulative terms, the monetary authority has dropped into 160 and 125 basic points the two references of its monetary policy. Despite this, President Christine Lagarde has also predicted new rate cuts in her future meetings. The next one will be on March 6.
“We are not in neutral types, although we are close “he said at the press conference. “We are still in restrictive territory so We have not argued when stop reducing the types “he pointed out.
The head of the ECB considers that “eThe disinflation process is well aimed ” And both the projections and the indicators used by the Central Bank point to the achievement of the 2% price stability objective in 2025. However, Lagarde wanted to leave, as a warning, which have not yet reached the goal.
“Internal inflation remains high, Mainly because salaries and prices in certain sectors are still adjusted to the previous inflationary increase with a substantial delay. But the growth of salaries is moderating as expected and the profits are partially cushioning the impact on inflation, “said the Banquera Gala.
Trump’s shadow and bitcóin
In Lagarde’s opinion, the possibility of giving future guidance on the monetary policy of the ECB is “unreal” given the current uncertainty and considers that the European economy is in “recovery, not in stagning.”
On the threats that are loom for the tariff program that the government of Donald Trumpthe president believes that its effects are still to be seen due to the complexity of economic movements that can trigger.
“It is much more complicated than if ‘it is in this way or that, it is inflationary or deflation …’. It will depend on whether there are a set of decisions with tariffs worldwide, if trade is redirected and if there is reprisals or No. The only thing we know with certainty is that they will have a global negative impact“He lamented.
Lagarde was also questioned by cryptocurrencies and Bitcóinafter the Trump administration plans to create a national reserve. In this regard, the ECB is not considering adding the crypt to the list of assets which maintains as reservations and discards it for reasons for security and confidence in the monetary system.
“I think that at the Bureau of the Governing Council and probably also in the General Council there is an opinion that reserves have to be liquid, they have to be safe and have to be protected, and They should not be plagued by money laundering suspicions or other criminal activities“He explained.
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