Economy & Trade
ECB's Schnabel Warns Inflation Fight Is Not Over
European Central Bank (ECB) Executive Board member Isabel Schnabel has cautioned that the fight against inflation may not be over, describing the final stage as the "most difficult". In a key speech, she highlighted persistent domestic price pressures, particularly in the services sector, as a significant risk. Schnabel stressed that future interest rate decisions will depend heavily on incoming economic data and the evolving inflation outlook. Her remarks signal that the ECB will remain vigilant and may be hesitant to cut rates further in the near term.
The ECB signals a cautious approach to future interest rate cuts due to stubborn services inflation.