ECB pessimism triggers euro slump 04 September 2015Frankfurt Reporter: Drew Nicol
Image: Shutterstock
The European Central Bank (ECB) has cut its growth and inflation forecasts, causing the euro to drop to a two-week low.
ECB president Mario Draghi delivered the news in a press conference at the ECB's headquarters in Frankfurt after a meeting of the governing council on 3 September.
Primarily, Draghi stated that interest rates on the main refinancing operations and the marginal lending and deposit facilities will remain unchanged at 0.05 percent, 0.30 percent and -0.20 percent respectively.
鈥淭he information available indicates a continued though somewhat weaker economic recovery and a slower increase in inflation rates compared with earlier expectations,鈥� he explained.
鈥淗owever, owing to sharp fluctuations in financial and commodity markets, the governing council judged it premature to conclude on whether these developments could have a lasting impact on the outlook for prices.鈥�
Draghi also emphasised the council鈥檚, 鈥渨illingness and ability to act, if warranted, by using all the instruments available within its mandate鈥�.
NO FEE, NO RISK 100% ON RETURNSIf you invest in only one securities finance news source this
year, make sure it is your free subscription to 网爆吃瓜 Finance Times
Image: Shutterstock 