The Governing Council today decided to keep the three key ECB interest rates unchanged. Inflation is currently at the 2% medium-term target. The incoming information is broadly in line with the Governing Council’s previous assessment of the inflation outlook. Domestic price pressures have continued to ease, with wages growing more slowly. Partly reflecting the Governing Council’s past interest rate cuts, the economy has so far proven resilient overall in a challenging global environment. At the same time, the environment remains exceptionally uncertain, especially because of trade disputes. The Governing Council is ... (full story)

The European Central Bank (ECB) held interest rates at the same level for the first time in more than a year on Thursday, amid persistent concerns about the impact of US tariffs on eurozone growth and the inflation outlook. The move, which was widely anticipated by investors and analysts, means the ECB’s key interest rate remains at 2%: half the record high of 4% reached in 2023 and held for much of 2024. Analysts currently anticipate at least one more 0.25 percentage point cut before the end of 2025, with most expecting the move to come at the ECB’s next meeting in September. Until Thursday, the Governing Council, ... (full story)