European Central Bank (ECB) President Christine Lagarde shared on Tuesday that it is unlikely the bank will say the interest rate peak has been reached "in the near future."
During her introductory speech at the ECB Forum on Central Banking, Lagarde explained that as there is still uncertainty over inflation persistence the possible rate peak will depend on "how the economy and various forces evolve over time."
In addition, Lagarde noted that the uncertainty with regard to transmission will also be affecting the monetary policy path. She reiterated that ECB will remain data dependent, while decisions will continue to be made meeting by meeting. Although "significant" progress has been made, "we cannot waver, and we cannot declare victory yet," Lagarde concluded.
