Lagarde speech: Transmission will unfold through Q1 of 2024

Christine Lagarde, President of the European Central Bank (ECB), explains the ECB's decision to leave the key interest rates unchanged in October and responds to questions from the press.

Key quotes

"Premature to debate rate cuts."

"The rise in yields is spillover we take into account, helps bring inflation down"

"Transmission will unfold through the first quarter of 2024, possibly longer."

"Policy hold doesn't mean we won't ever hike again."

"We don't have a purpose to show profits or cover losses."

About ECB's press conference

Following the ECB´s monetary policy decisions, the ECB President delivers a prepared statement and responds to questions from the press on the policy outlook. Her comments may influence the volatility of EUR and determine a short-term positive or negative trend. Her hawkish view is considered as positive, or bullish for the EUR, whereas her dovish view is considered as negative, or bearish.