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Medium-term inflation in Europe/ ECB Chief Lagarde: Let's be vigilant, close to the 2% target

2025-10-31 21:14:00, Ekonomi CNA

Medium-term inflation in Europe/ ECB Chief Lagarde: Let's be vigilant,

European Central Bank President Christine Lagarde says Europe must be vigilant against inflation

"Inflation remains close to our medium-term objective of 2% and our assessment of the inflation outlook is broadly unchanged," Lagarde said.

Lagarde reaffirmed that the ECB is in a good position, although she is not yet ready to declare victory. She also acknowledged that views differ within the Governing Council, noting that debates between so-called “hawks” and “doves” are shaped by different national perspectives and economic conditions.

Lagarde pointed to potential supply chain disruptions as a growth risk, particularly around rare earth materials and strategic sectors such as energy and automotive.

She also pointed to labor market developments, particularly wage growth, as a key component of services inflation. Although not currently flagged as a risk, these factors will be crucial in shaping the medium-term inflation path.

According to an estimate from Eurostat, annual inflation in the euro area fell to 2.1% in October, from 2.2% in September, and now just above the ECB's medium-term target of 2%. /CNA

 

 

 





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