ECB hikes by 0.75%

Source: Dukascopy Bank SA


The European Central Bank just hiked its base interest rate by 0.75% up from 1.25% to 2.00%. The markets expected the 0.75% hike and it was assumed to be priced in.

However, on the announcement the Euro declined in value, which was attributed to the fact that some market participants expected a 1.00% rate increase.

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