The European Central Bank doesn’t have a role in helping governments finance more defense spending and will stick to its mission of price stability, President Christine Lagarde said.

Although the ECB would not pre-commit to future rate cuts, the fact that Christine Lagarde did not push back on lower rate cut expectations is a sign that the ECB is comfortable with a neutral rate around 2%.

The European Central Bank (ECB) will announce its interest rate decision on Thursday, with market expectations leaning towards a 25 basis point cut, bringing th

Officials concur that rates should be brought to levels that no longer constrain activity, known as neutral. Only a few, though, have floated the idea of pushing even lower to stimulate demand. While a recent study by ECB staff put neutral at 1.75% to 2.25%, some hawks say it may be higher.

Tariff relief, ECB policy, and Germany’s fiscal steps shape the market. Will easing tensions sustain the rally?