ECB's Schnabel: I didn't say rates should be raised

ECB's Isabel Schnabel indicated in a recent podcast that interest rates are likely to remain stable in the near future. This statement may influence market expectations regarding the ECB's adjustments to interest rates in response to inflation. By emphasizing the likelihood of stability, investors might consider the ECB's policy to be very flexible, anticipating no dramatic fluctuations in interest rates. This perspective could affect the value of the Euro, particularly its strength against other currencies. If rates remain stable, the borrowing costs for businesses and consumers are likely to stay consistent, potentially supporting economic activity. Monitoring economic growth and changes in the labor market will also be crucial, as these factors can significantly impact the financial environment in the Eurozone.