Created
: 2025.01.02
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
Lagarde speech: ECB hopes to hit 2% inflation target in 2025
World FX news
Breaking news
Lagarde speech: ECB hopes to hit 2% inflation target in 2025
New
2025.01.02 08:15
2025.01.02 08:15
2025.01.02 08:15
European Central Bank (ECB) President Lagarde said on Wednesday that the central bank hopes to hit the 2% inflation target in 2025
Key quotes
"We have made significant progress in 2024 in bringing down inflation and hopefully 2025 is the year when we are on target as expected and as planned in our strategy,"
"Of course we will continue our efforts to ensure that inflation stabilizes sustainably at that 2% medium-term target."
Market reaction
At the time of writing, EUR/USD is trading 0.01% higher on the day to trade at 1.0353.
ECB FAQs
The European Central Bank (ECB) in Frankfurt, Germany, is the reserve bank for the Eurozone. The ECB sets interest rates and manages monetary policy for the region. The ECB primary mandate is to maintain price stability, which means keeping inflation at around 2%. Its primary tool for achieving this is by raising or lowering interest rates. Relatively high interest rates will usually result in a stronger Euro and vice versa. The ECB Governing Council makes monetary policy decisions at meetings held eight times a year. Decisions are made by heads of the Eurozone national banks and six permanent members, including the President of the ECB, Christine Lagarde.
In extreme situations, the European Central Bank can enact a policy tool called Quantitative Easing. QE is the process by which the ECB prints Euros and uses them to buy assets - usually government or corporate bonds - from banks and other financial institutions. QE usually results in a weaker Euro. QE is a last resort when simply lowering interest rates is unlikely to achieve the objective of price stability. The ECB used it during the Great Financial Crisis in 2009-11, in 2015 when inflation remained stubbornly low, as well as during the covid pandemic.
Quantitative tightening (QT) is the reverse of QE. It is undertaken after QE when an economic recovery is underway and inflation starts rising. Whilst in QE the European Central Bank (ECB) purchases government and corporate bonds from financial institutions to provide them with liquidity, in QT the ECB stops buying more bonds, and stops reinvesting the principal maturing on the bonds it already holds. It is usually positive (or bullish) for the Euro.
Last updated
: 2025.01.02
Related articles
GBP/USD catches a thin rebound on Friday
2025.01.04 02:55Fed's Barkin: We must see inflation at 2% or weakening in demand to cut rates.
2025.01.04 02:40US ISM Manufacturing PMI improves to 49.3 in December vs. 48.4 expected
2025.01.04 00:06AUD/USD consolidates around 0.6200 ahead of US ISM Manufacturing PMI
2025.01.03 23:31GBP/USD retains a soft undertone - Scitabank
2025.01.03 22:54EUR/USD: Upside potential is limited - Scotiabank
2025.01.03 22:52
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
Gold Price Forecast: XAU/USD eases on Friday as investors look elsewhere
XAU/USD dipped on Friday, with Gold prices falling roughly two-thirds of a percent and dipping back below $2,650 per ounce as market sentiment recovers from the early week's risk-off appetite.
New
2025.01.04 03:17GBP/USD catches a thin rebound on Friday
GBP/USD found a thin recovery on Friday, gaining roughly four-tenths of one percent and ending the first trading week of 2025 back above the 1.2400 handle.
New
2025.01.04 02:55Fed's Barkin: We must see inflation at 2% or weakening in demand to cut rates.
Federal Reserve (Fed) Bank of Richmond President Tom Barkin delivered prepared remarks to the Maryland Bankers Association in Maryland on Friday, outlining the Fed's case for when to cut rates again, and the conditions required to do so.
New
2025.01.04 02:40US ISM Manufacturing PMI improves to 49.3 in December vs. 48.4 expected
The business activity in the US manufacturing sector continued to contract, albeit at a softening pace in December, with the ISM Manufacturing PMI rising to 49.3 from 48.4 in November.
New
2025.01.04 00:06AUD/USD consolidates around 0.6200 ahead of US ISM Manufacturing PMI
The AUD/USD pair trades sideways around 0.6200 in Friday's North American session.
New
2025.01.03 23:31GBP/USD retains a soft undertone - Scitabank
UK money supply and lending data for November came in on the weak side of expectations. Softer demand for mortgages suggests the rebound in UK house prices is starting to crimp demand, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
2025.01.03 22:54EUR/USD: Upside potential is limited - Scotiabank
The Euro (EUR) has recovered a little from new cycle lows near 1.0240 made yesterday against the US Dollar (USD) but the rebound has stalled below 1.03 so far on the session, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
2025.01.03 22:52CAD holds consolidation range around 1.44 - Scotiabank
The CAD is little changed on the session and continues to hold in the trading range established prior to the holiday break, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
2025.01.03 22:49DXY: Overvalued USD consolidates - Scotiabank
After a solid start to the year yesterday, broad dollar gains have been checked back somewhat, leaving the Dollar Index (DXY) in consolidation mode into the weekend, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
2025.01.03 22:44NZD/USD Price Forecast: Gains ground near 0.5600
The NZD/USD pair gains firm-footing near the round-level support of 0.5600 in Friday's North American session.
New
2025.01.03 22:42Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
