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Global Market: Christine Lagarde rejects stagflation fears despite rising risks

Posted on May 1, 2026
By Business News Today
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1 min read

Global Market: Christine Lagarde rejects stagflation fears despite rising risks

ECB President Christine Lagarde dismissed stagflation concerns in the euro zone, even as risks to growth and inflation rise. The central bank held rates steady and maintained modest growth projections. While inflation pressures persist and economic momentum weakens, the ECB said current conditions do not reflect historical stagflation dynamics.