ECB president, Christine Lagarde, remarks in an interview with the FT
- ECB actions had demonstrated their efficiency, effectiveness
- But economic recovery would be constrained, uncertain and fragmented
- Some euro area countries will recover more quickly than others
- “I wouldn’t put all my bets on 18 July” (on EU recovery fund)
- Says would give it until month-end for a potentially favourable outcome
She also dropped some hints about next week’s ECB policy meeting by saying that “we have done so much that we have quite a bit of time to assess incoming data carefully”. Not that it is a surprise, but that just reaffirms market expectations at this stage.
Other than that, the key takeaway is that even Lagarde herself isn’t entirely confident that EU member states can reach a compromise on the recovery fund before the break.