The Governing Council today decided to keep the three key ECB interest rates unchanged. While the incoming information has been broadly consistent with the Governing Council’s previous assessment of the inflation outlook, the upside risks to inflation and the downside risks to growth have intensified. The Governing Council is committed to setting monetary policy to ensure that inflation stabilises at the 2% target in the medium term. The war in the Middle East has led to a sharp increase in energy prices, pushing up inflation and weighing on economic sentiment. The implications of the war for medium-term inflation ... (full story)

The ECB maintained key interest rates at their lowest level in more than two years, matching market expectations. The Frankfurt-based monetary institution held its deposit facility rate at 2% on Thursday for the third consecutive meeting. "The Governing Council today decided to keep the three key ECB interest rates unchanged," the bank said in a statement on Thursday. The ECB said incoming data had largely confirmed its previous inflation outlook, but that risks were shifting — with price pressures building on the upside and growth weakening on the downside. The bank reaffirmed its commitment to bringing inflation ... (full story)