ECB's Lagarde Says Risks 'Remain Tilted to the Downside'

The transcript discusses the current economic conditions, highlighting weak manufacturing and expanding services. Consumer confidence is fragile, but recovery conditions are present. Inflation rose to 2.4% in December, driven by past energy price drops. Food and goods inflation decreased, while services inflation increased. Inflation is expected to stabilize around 2% in the medium term. Economic growth risks include global trade friction, geopolitical tensions, and prolonged monetary policy effects. However, easier financing and falling inflation could boost domestic consumption and investment. Euro area interest rates have risen, reflecting global market trends.

What are the current trends in consumer confidence and household spending?

How did annual inflation change from November to December?

What is the expected trend for inflation in the near term according to the text?

What are the expected impacts of geopolitical risks on economic growth?

What factors are contributing to the uncertainty in the euro area inflation outlook?