ECB rate cut widely praised
The European Central Bank reduced its lending rate by 0.50 percent to 3.25 percent on 8 November. The cut followed on from Tuesday's reduction by the US Federal Reserve and a similar 0.5 point reduction in the Bank of England's lending rate to 4 percent earlier on 8 November. The reduction reflects growing concerns that the economic downturn in the wake of 11 September's terrorist attacks in the US is turning out to be more severe than originally expected.
The European Central Bank reduced its lending rate by 0.50 percent to 3.25 percent on 8 November. The cut followed on from Tuesday’s reduction by the US Federal Reserve and a similar 0.5 point reduction in the Bank of England’s lending rate to 4 percent earlier on 8 November. The reduction reflects growing concerns that the economic downturn in the wake of 11 September’s terrorist attacks in the US is turning out to be more severe than originally expected.
