ECB Holds Rates Steady, Emphasizes Data-Dependent Approach to Energy Inflation

English summary

The ECB decided on October 29 to keep key interest rates unchanged, despite Eurozone inflation rising to 3.8% in September driven by energy prices. President Lagarde reaffirmed the data-dependent strategy and announced her early departure in 2027. Banque de France Governor Moulin opposed proposals to cancel sovereign debt holdings, stating fiscal issues must be resolved domestically. EUR/USD hovered near 1.118 with limited market reaction.