US EditionEuropean Central Bank leaves rates unchanged as tariff fallout lingers
Eurozone inflation remains near the 2% target with modest economic growth forecasted; France's fiscal crisis and US trade tensions pose ongoing challenges, ECB signals potential rate cut by year-end.
- The European Central Bank left interest rates unchanged, maintaining the deposit facility rate at 2%.
- The move comes amid lingering economic uncertainty following U.S. tariffs on EU exports and antitrust actions against firms like Google.
- While inflation is around the ECB's 2% target, growth in the euro zone remains sluggish at 0.1% in the second quarter.
119 Articles
119 Articles
The ECB confirms an overall disinflation in the euro area and emphasises the good maintenance of growth, but it has left its rates unchanged at 2 % while waiting to see more clearly on trade tensions and price developments (which have re-accelerated somewhat), all against the backdrop of the French budgetary crisis.
The European Central Bank leaves the key interest rates unchanged in the euro area.
The European Central Bank (ECB) today kept interest rates at their current level, as inflation is back under control and the economy is withstanding US tariffs better than expected.
The economy in the currency area can cope with the increased US tariffs under Trump better than feared. The ECB reacts and raises its forecast. However, inflation could be slightly higher.
The ECB maintains its interest-rate pause and looks surprisingly optimistically at the economic situation. Although President Lagarde was calm about the political situation in France, he also referred to the controversial emergency instrument of the central bank.
Inflation is slowed down, the uncertainty in the euro area continues to be great. France is in a government crisis, the German economy has to fight. In this uncertain situation, ECB head Christine Lagarde is counting on waiting.
Coverage Details
Bias Distribution
- 41% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
