ECB likely to hold off on rate hike as eurozone inflation falls

European Central Bank president Christine Lagarde and its governing council will meet on Thursday to discuss interest rates in light of escalating tensions in the Middle East.

The European Central Bank (ECB) is likely to hold off on a second interest-rate hike in the coming week while keeping that option open for September as inflation across the eurozone falls slightly.

Late last week, Eurostat released data showing that the annual inflation rate in June stood at 2.8% across the eurozone — down from 3.2% in May.