ECB President Lagarde (Q&A) says it is popular to talk about stagflation; stagflation is a term that should be parked in he 1970s, does not apply to the current situation

Lagarde's dismissal of stagflation as a relevant term for today's economy suggests a hawkish stance, reinforcing the ECB's commitment to managing inflation rather than being overly concerned about growth stagnation. This could impact market expectations around future rate adjustments and might strengthen the Euro against rivals, particularly in the fixed income space where investor sentiment shifts in response to central bank signals.