Lagarde says ECB depends on European data, not Fed

The European Central Bank (ECB) highlighted its differences with the Federal Reserve (Fed) this Thursday, ensuring that its future decisions will not be based on the actions of the North American central bank, but on European data.

At a press conference following the ECB’s monetary policy meeting, the institution’s president, Christine Lagarde, said the central bank depends on data, not the Fed, although what happens in other countries is important when it comes to determining its monetary policy. and forecasts.

The ECB president’s remarks came after it was announced on Wednesday that US inflation accelerated in March, which could threaten the Federal Reserve’s interest rate cut expected in June.

Lagarde stressed that the ECB’s mandate is to maintain price stability in the eurozone and work with European citizens, so its decisions are mainly based on data related to this area.

The ECB President also said that the cause of inflation in the US and the eurozone is different, as are the political reactions or consumer dynamics, so the measures were different.

In that sense, Lagarde declined to speculate on possible monetary policy decisions the Fed might make once it is confirmed that US inflation rose three-tenths to 3.5% in March.

Eurozone annual inflation slowed to 2.4% in March, down from 2.6% in February, according to preliminary Eurostat estimates released last week.

The ECB left interest rates unchanged this Thursday, setting its key refinancing rate at 4.5%, the highest level since 2001, but was prepared to cut them if inflation continued to decline.