Lagarde speech: Economy to slow down substantially over remainder of 2022

Christine Lagarde, President of the European Central Bank (ECB), is delivering her remarks on the policy outlook and responding to questions from the press following the Governing Council's decision to hike key rates by 75 basis points in October.

Key takeaways

"Made substantial progress in withdrawing accommodation."

"Activity is likely to have slowed significantly in Q3."

"We expect the economy to slow down substantially over the remainder of the year and next year."

"High inflation is dampening spending, production."

"Headwinds are reinforced by gas supply disruptions."

"Rebound in demand for services is slowing."

"Labour market performed well."

"Slowing economy could lead to some increase in the jobless rate."