The ECB the Minimum Bid Rate to 2% – exactly as expected. This is a 0.5% decrease from 2.5%. This change didn’t surprise anyone. ECB Rate Decision was truly a non-event.
The Euro remains stable, with EUR/USD currently at 1.3133. EUR/JPY at 117.00.
A bigger prospect about the future of interest rates in Europe, the Eruopean economy and the world economy in general, can listen to the ECB press conference due very soon. Jean Claude Trichet and his team can explain the reasons behind this rate cut, and the expectations for the next months.
It can be seen here. Thanks to FedePresident from the Forex Factory forum for poiting it out.