Preview: ECB expected to keep rates at 2% today. Lagarde tone on June takes centre stage
Investinglive·
- The European Central Bank is expected to keep interest rates at 2% during Thursday's meeting, with a market probability of only 10% for a rate hike today.
- Focus is shifting to President Christine Lagarde's press conference, as her statements could either reinforce or soften expectations for action in June when a potential increase of 25 basis points is anticipated.
- Analysts warn that without a clear commitment for June, the euro may see a decline, influenced by tighter bank credit standards and ongoing inflation pressures, despite lower PMIs indicating economic contraction.