The heads of the world's five major central banks will discuss monetary policy in public next Tuesday, the impact of Trump's administration on the global economy over the past five months is expected to be a focal point.
The 2025 European Central Bank Central Banking Forum will be held from June 30 to July 2 in Sintra, Portugal, where Federal Reserve Chairman Jerome Powell and European Central Bank President Christine Lagarde will join their counterparts from Japan, South Korea, and the UK to discuss how to respond to the chain reactions of White House decisions.
From trade frictions caused by tariffs to oil price fluctuations due to conflicts in the Middle East, central banks are facing critical questions on how to handle these impacts. This high-level meeting, held during the European Central Bank's annual conference, will be the first time Lagarde and Powell publicly discuss together since the same event in 2024.
<h2>Central Banks Generally Maintain Caution</h2>
At the mid-2025 juncture, global monetary policy has nearly come to a standstill, and central banks need to cautiously address the dual risks that Trump's policies pose to inflation and growth.
Powell insisted on Tuesday that the Federal Reserve is not in a hurry to change interest rates, and the Bank of England also kept borrowing costs unchanged earlier this month. The European Central Bank, having just implemented a rate cut, is not preparing for further action, while the Bank of Japan is expected to maintain its benchmark interest rate at its meeting on July 31, and the Bank of Korea is also taking a cautious approach.
This collective wait-and-see attitude reflects the cautious stance of central banks in the face of the current complex economic environment.
The U.S. employment report for June will be released next Thursday, one day earlier than usual due to the Independence Day holiday schedule. Economists predict that employers added 113,000 jobs that month, the lowest in four months, but still consistent with healthy labor demand. The unemployment rate is expected to rise slightly to 4.3%. For the Federal Reserve, which is awaiting clearer information on the potential inflation impact of tariffs, any significant deterioration in the labor market could put more pressure on officials to cut rates

The impact on the global economy caused by Trump's administration over the past five months is expected to become a focal topic

- The central bank governors of the world's five largest economies will discuss monetary policy next Tuesday, focusing on the impact of Trump's administration on the global economy.  
- The 2025 European Central Bank Forum will take place from June 30 to July 2 in Sintra, Portugal, featuring discussions among central bank leaders from the U.S., Europe, Japan, South Korea, and the UK.  
- As global monetary policy remains stagnant, central banks are cautiously addressing the dual risks posed by Trump's policies on inflation and growth, with the U.S. jobs report expected to show a slight rise in unemployment.

Led by Powell and Lagarde, next week, the heads of five major central banks will discuss monetary policy