European Central Bank cuts interest rates

Note: This section contains information in English only.
Source: Dukascopy Bank SA


For the first time in five years, the ECB has reduced its Main Refinancing Rate. The rate has been cut from 4.50% down to 4.25%. This rate cut was expected, as ECB policymakers had kept talking about it to the media since the start of the year.

The Euro reacted to the news by surging, despite lower rates meaning lower demand for Euro bonds and thus the European common currency.
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