Inflation at 1.6%; Prior Forecast 1.9% ECB Sees 2027 Inflation at 2%; Prior Forecast 2%

Asked if the ECB was done cutting rates, Lagarde said: "We are in a good position on the basis of the current trade path and with the 25 basis point cut that we decided, so that we can face the uncertainties that are coming our way. But as you have heard in the monetary policy statement, we will decide meeting by meeting on the basis of data."

We are getting to the end of a monetary-policy cycle that was responding to compounded shocks — including Covid, the illegitimate war in Ukraine and the energy crisis,” says ECB's Lagarde.