ECB President Lagarde said the June rate increase was the correct decision,
noting most Governing Council members were ready to act in April but postponed
until June due to insufficient information. She said external supply shocks are
still transmitting into broader parts of the economy, though second-round
inflation effects have not yet emerged. Lagarde added the recent US‑Iran peace
deal has pushed oil prices down and eased inflationary pressure, but indirect
price effects continue to spread and the ECB will keep inflation risks under
close watch.
