As expected, the European Central Bank decided to leave the refinancing rate at the same level - 1%.
The last time the ECB changed its key interest rate in May this year. Then it was lowered by 25 basis points to 1%.
ECB President Jean-Claude Trichet said that the operation to 12-month refinancing will be indexed in line with current market rates, rather than a fixed rate of 1%, as was done previously. Trichet noted that some measures to stimulate and improve liquidity was no longer needed and confirmed that the tender for 12-month refinancing has to be the last.
Jean-Claude Trichet also said that "trust the sincerity" by leaders of the U.S. Treasury and Federal Reserve about their interest in maintaining a strong dollar.
The last time the ECB changed its key interest rate in May this year. Then it was lowered by 25 basis points to 1%.
ECB President Jean-Claude Trichet said that the operation to 12-month refinancing will be indexed in line with current market rates, rather than a fixed rate of 1%, as was done previously. Trichet noted that some measures to stimulate and improve liquidity was no longer needed and confirmed that the tender for 12-month refinancing has to be the last.
Jean-Claude Trichet also said that "trust the sincerity" by leaders of the U.S. Treasury and Federal Reserve about their interest in maintaining a strong dollar.
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