ECB Chief Economist Philip Lane emphasized the central bank’s data-driven approach in managing inflation. Speaking today he suggested that another interest rate hike is likely in July, provided there are no significant changes in the economic outlook.
“At this point, we are surely data-driven,” Lane stated, reflecting ECB’s commitment to making policy decisions based on economic indicators and trends. “July is not so far away, we can say unless there’s a material change another hike (is likely).”
Regarding further in September, however, Lane was more reserved. “But to me, September is so far away; let’s see in September,” he added.
Despite rising inflation, Lane remains optimistic about the medium-term outlook. “Inflation will come down fairly quickly in the next couple of years to ECB’s 2% target,” he predicted.
