Nagel said that the European Central Bank is in a favorable position and is remaining silent on the next interest rate adjustment.

European Central Bank Management Committee member Joachim Nagel stated that when the ECB convenes its next interest rate meeting in September, it will rely on a large amount of new economic data to assess the situation. Nagel, who also serves as the President of the Bundesbank, defended the ECB's decision to keep interest rates unchanged on Thursday, emphasizing the rapidly changing situation in the Middle East. In an email statement, he said: "It was the right decision to maintain stability in the key interest rates of the European Central Bank. The rate hike in June put us in a favorable position to closely monitor subsequent economic changes." This statement was made after the ECB announced it would stand pat. The ECB raised interest rates by 25 basis points in June, and the current pause in rate adjustments is to buy time to assess whether further tightening of monetary policy is needed due to inflation pressures stemming from the conflict in Iran. ECB President Christine Lagarde had already hinted at another rate hike in September, with some committee members even considering starting the hike this month. Sources revealed that policy officials are prepared to raise rates unless there is a significant improvement in the inflation outlook for the eurozone. Nagel reiterated the ECB's consistent stance of not locking in policy paths prematurely, stating: "We are still in a highly uncertain environment. In September, we will have a large amount of new data and fresh economic forecasts to reassess the inflation outlook."