ECB Villeroy Seeks Critical Data Before Rate Hikes

Bank of France Governor Francois Villeroy de Galhau stated the ECB needs clear evidence of entrenched inflation before raising rates. He emphasized prudence.

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France Central Bank Governor Francois Villeroy de Galhau said the ECB requires a "critical mass of data" before raising interest rates. The ECB kept rates unchanged on the previous Thursday but signaled a potential hike as early as June. Investors are tracking whether inflation expectations remain anchored to gauge the timing of the first Eurozone tightening cycle.

Data Dependency Overrides Immediate Tightening

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