The ECB pauses at 2.5% as Lagarde announces an early exit
The European Central Bank held its deposit rate after two rises this year, with inflation at 3.8%. Christine Lagarde will leave on 7 February 2027, about nine months before her term ends.
Source published · In the Weekly Review of 1 November 2026
Filed under Economy
The European Central Bank (ECB) left its deposit rate at 2.5% on 29 October, after two rises this year, the latest in September. Euro area inflation rose to 3.8% in September from 3.2% in August, almost double the 2% target, and the bank said it was not committing to any particular rate path.
Hours earlier Christine Lagarde said she would step down on 7 February 2027, around nine months before her eight-year term ends. A sell-off in French government bonds is pushing up borrowing costs across the euro area.