Inflation fears have surpassed US borders. Christine Lagarde, president of the European Central Bank (ECB), warned that abrupt changes in global trade and the defense system of the region will make it more difficult to maintain inflation stability.

Following is the text of European Central Bank President Christine Lagarde's statement after the bank's policy meeting on Thursday: Link to statement on ECB website: Good afternoon, the Vice-President and I welcome you to our press conference.

The euro zone economy is facing exceptional shocks from trade, defence and climate issues, possibly amplifying inflation volatility and raising the risk that price growth becomes more persistent, ECB President Christine Lagarde said on Wednesday.

Christine Lagarde (pictured) said it was 'impossible' to guarantee that policymakers would meet a 2% inflation target in the short term.

European Central Bank President Christine Lagarde said on Wednesday that uncertainties surrounding trade policy and geopolitical situations are too high, making it increasingly challenging to maintain economic stability.