Eurozone, the rates firm at 4% reference

February 8

Posted by flicker as ECB , News

The ECB decides to keep rates unchanged at 4% reference Eurozone. The dell'eurotower President Jean-Claude Trichet at a press conference, confirming the unanimous decision of the Council of the ECB to keep rates unchanged reference, also including the marginal lending rate remains at 5% and the rate on deposits at the institute is stuck at 3%. Trichet said that the decision is amply on what "we are unanimous in finding that the Board keep rates at 4% we can ensure price stability over the medium term" and adds that the ECB policy is applied in "circumstances that are often different. " Regarding the possibility of rising interest rates the ECB President said "we have a clear philosophy, we strive not to advance on anything, we are always on alert and ready to take any decision needed to ensure price stability" and adds that "This is how we moved from the start, at all stages and in all types of decisions. We are ready to act at any moment. " ECB President also calls on the markets and the social partners to avoid at all costs in the short term inflationary consequences on rising consumer prices and wages and to the prospects for growth this is considered in a climate of "extraordinary uncertainty "in view of the continuous adjustments of the risk assessment in financial markets. While Eurozone rates remain Ivar, the Bank of England reduces the cost of borrowing to 5.25% with a reduction of 25 basis points. From London there is a strong concern of renewed inflationary in the coming months, despite an expected decrease in the rise at year-end commodity prices and energy food. The Monetary Policy Committee in a statement announced that it "must balance the possibility of a sharp slowdown in the activities listed infllazione below the target with the risk that inflation expectations keep inflation above the ideal level.