Dutch parliament formally opposes ‘tiered’ ECB rates

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Ahead of tomorrow’s highly-anticipated European Central Bank (ECB) governing council meeting, Dutch parliament on Wednesday sent a formal letter to ECB President Mario Draghi to voice its opposition to the potential use of ‘tiered’ rates. 

“The letter included a translation into English of a motion passed by Dutch parliament that says offering banks “tiered”, or preferentially high, interest rates on deposits held at the ECB would be unfair to pension funds that are currently forced to invest at negative rates,” Reuters reported.

The EUR/USD pair largely ignored this headline and looks to end the day in the negative territory near the 1.10 handle.

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