The European Central Bank has decided on interest rates

The European Central Bank raised interest rates by 25 basis points due to ongoing inflation pressures, particularly from energy prices. The ECB noted that inflation is expected to remain above target for an extended period. Meanwhile, the Federal Reserve decided to keep rates unchanged at 3.75-4%. Analysts suggest that further tightening could burden businesses already facing high energy costs. Christine Lagarde announced her resignation as ECB President, effective February 7, 2027, with the selection process for her successor starting immediately.