INV: ECB cuts rates to record-low 0.15%; Draghi comments ahead
Investing.com - The European Central Bank lowered its benchmark interest rate to a record low in June, amid ongoing concerns over deflationary pressures in the region, it announced on Thursday.
The ECB said it was lowering its benchmark interest rate to a record-low 0.15% from 0.25%, compared to expectations for a cut to 0.1%.
The central bank also cut its marginal lending rate to 0.40% from 0.75% and lowered its deposit facility rate to -0.10% from 0.0%.
ECB president Mario Draghi was to comment on the decision at a press conference later in the day.
Market participants will scrutinize Draghi’s comments for clues in regards to the central bank's next course of action in dealing with an ongoing sovereign debt crisis.
Following the announcement, the euro added to gains against the U.S. dollar, with EUR/USD rising 0.13% to trade at 1.3617, compared to 1.3609 ahead of the announcement.
Meanwhile, European stock markets remained higher. The Euro Stoxx 50 picked up 0.45%, France’s CAC 40 advanced 0.5%, Germany's DAX rose 0.3%, while London’s FTSE 100 tacked on 0.1%.
