🇪🇺LAGARDE MAY EXIT ECB EARLY Christine Lagarde is reportedly considering stepping down as president of the European Central Bank before her term ends in October 2027, according to the Financial Times. The report says she may leave before France’s presidential election next April, potentially allowing Emmanuel Macron and Friedrich Merz to coordinate on a successor. No timing has been confirmed. An ECB spokesperson said Lagarde remains focused on her mandate and has made no decision. Francois Villeroy de Galhau dismissed the story as a rumor. Markets showed little reaction, with only minor euro movement. Economists, including Andrzej Szczepaniak of Nomura, expect limited policy impact, arguing inflation is near 2% and rate decisions rely on internal consensus. Potential successors cited in surveys include Pablo Hernandez de Cos, Klaas Knot, Joachim Nagel and Isabel Schnabel. While some governments favor accelerating succession planning — partly to avoid negotiations after a possible far-right victory by Marine Le Pen or Jordan Bardella — others, including German and Austrian officials, support sticking to the usual timetable.(*Walter Bloomberg)