ECB Keeps Interest Rates on Hold and Traders Rule Out More Cuts

The European Central Bank kept borrowing costs unchanged for a second meeting, deeming inflationary pressure contained and economic dangers abating. Investors concluded that there’ll be no more cuts.

The deposit rate was leftat 2% on Thursday – as predicted by all analysts in a Bloomberg survey. Policymakers offered no guidance on future steps, continuing to stress that they’ll act one meeting at a time based on incoming data.

“Inflation is where we want it to be,” President Christine Lagarde told reporters in Frankfurt, while stressing that the outlook for prices remains “more uncertain than usual” due to the ...