The European Central Bank (ECB) held its benchmark rate at 0.15% as expected. The marginal lending facility rate stayed at 0.4% while the deposit rate remained at -1.0%.
The Euro Area has been sliding into somewhat of a crisis. Italy is backing into a recession, and conflicts in Ukraine continues to drag out the time-line for a consistent economic recovery in the Euro Area. Inflation is very low.
However, the geopolitical tensions, the economic woes, and the low inflation is not enough to trigger another round of stimulus (QE).
Let’s see what Draghi will have to say when he addresses these issues that should pressure the bank into more action. The following is the ECB Press Conference live during the 8/7 European-US session, and recorded for later viewing:
Live 8:30AM ET, 12:30PM GMT, 1:30PM BST
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