The European Central Bank (ECB) met today and decided to cut the main refinancing / interest rate from 0.05% to a new record low of 0.0%.

The bank deposit rate was also cut from -0.3% to -0.4% to further encourage banks to lend to the economy, rather than depositing funds overnight with them.

The ECB also decided to ramp up their current stimulus package of quantitative easing (QE) by raising the amount of bonds bought each month from €60bn to €80bn. This is due to start in April. The programme will now include the purchase of bonds from non-bank corporations.

As such, GBP/EUR has been volatile and unsurprisingly the markets have been moving significantly.

To request an instant quotation on a currency quotation please click here

* Information courtesy of Currencies Direct
The contents of this report are for information purposes only. It is not intended as a recommendation to trade or a solicitation for funds. Currencies Direct cannot be held responsible for any loss or damages arising from any action taken following consideration of this information. This article was written Currencies Direct.