- Prior decision
- Deposit facility rate 2.00% vs 2.00% expected
- Prior 2.00%
- Main refinancing rate 2.15% vs 2.15% expected
- Prior 2.15%
- Marginal lending facility 2.50%
- Prior 2.50%
- Domestic price pressures have continued to ease, with wages growing more slowly
- The economy has so far proven resilient overall in a challenging global environment
- Will follow a data-dependent and meeting-by-meeting approach to determining the appropriate monetary policy stance
- ECB is not pre-committing to a particular rate path
- Full statement
There’s nothing new in the language either as the ECB maintains a more flexible approach even as they look to pause through the summer. Lagarde’s press conference later shouldn’t have anything too exciting either, so this is as much of a non-event as one can get in terms of central bank decisions.
EUR/USD is little changed at 1.1755 as traders also hold ECB rate cuts bets steady in looking for ~21 bps of rate cuts by year-end.
This article was written by Justin Low at investinglive.com.