ECB Keeps Interest Rate on Hold

The European Central Bank kept its main refinancing rate on hold at 0.75 per cent again yesterday (4th Oct 2012) .

The Euro rose against the US Dollar after the ECB President reaffirmed that they have set a “fully effective backstop mechanism” to purchase bonds of troubled Eurozone countries and hinted that conditions linked to the ECB’s assistance would not necessarily be punitive.

Banner - Savings (3.75% IR)

The Bank of England also made no change to their 0.5% interest rate.