Amidst the political noise, central bankers chart course for monetary policy
by David McNamara, Chief Economist
 
 

While political events dominated the news agenda, last week’s ECB forum in Sintra gave important hints towards near-term monetary policy. In her opening remarks at the forum, ECB President Lagarde ruled out a further cut at its July meeting, stating “it will take time for us to gather sufficient data to be certain that the risks of above-target inflation have passed,". A July cut was already ruled out by markets following the ECB’s ‘hawkish cut’ in June, and further solidified by the minutes of that meeting, which showed disagreement on whether to cut was even necessary in June.


 
 
 
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