Latest European Central Bank News

Higher temperatures mean higher food and other prices. A new study links climate shocks to inflation

Mar. 21, 2024 15:52 PM EDT

Food prices and overall inflation will rise as temperatures climb with climate change, a new study by an environmental scientist and the European Central Bank found. Looking at monthly price tags of food and other goods, temperatures and other climate factors in 121 nations since...

Europe's economy has stalled. But an interest rate cut will likely have to wait for summer

Mar. 07, 2024 11:25 AM EST

FRANKFURT, Germany (AP) — Inflation in Europe is way down from its painful double-digit peak, and the economy has stalled. But the European Central Bank left its key interest rate at a record high Thursday, and its leader suggested a much-anticipated cut to borrowing costs would likely wait until...

European Central Bank holds key interest rate at a record-high 4% even as borrowing costs weigh on the stalled economy

Mar. 07, 2024 08:16 AM EST
FRANKFURT, Germany (AP) — European Central Bank holds key interest rate at a record-high 4% even as borrowing costs weigh on the stalled economy.

European inflation eases to 2.6% as energy prices fall and food inflation slows

Mar. 01, 2024 05:38 AM EST

FRANKFURT, Germany (AP) — The inflation that has ravaged the European economy eased again in February, falling to 2.6% as high interest rates, moderating oil and gas prices, and sluggish growth held back price increases in stores. February's figure for the 20 countries that use...

Inflation in Europe edges down again. But will Houthi attacks on ships spoil the relief?

Feb. 01, 2024 09:20 AM EST

FRANKFURT, Germany (AP) — Inflation in Europe edged lower in January to 2.8%, keeping alive speculation about quicker interest rate cuts that would lower borrowing costs for businesses and consumers — and help boost the stagnating economy. The annual figure released Thursday by...

Europe's economic pain drags on with zero growth at the end of last year

Jan. 30, 2024 09:58 AM EST

FRANKFURT, Germany (AP) — Europe’s economy failed to expand at the end of 2023, dragging out the stagnation for more than a year amid higher energy prices, costlier credit and a downturn in former powerhouse Germany. Zero economic growth for the October-to-December period of last...

Financial markets are jonesing for interest rate cuts. Not so fast, says the European Central Bank

Jan. 25, 2024 11:28 AM EST

FRANKFURT, Germany (AP) — European Central Bank President Christine Lagarde pushed back Thursday against market expectations for quick interest rate cuts even as Europe’s economy sputters and financial markets froth in hopes of cheaper credit that would boost business activity and stock prices....

European Central Bank leaves its key interest rate untouched at a record-high 4%, while focus turns to timing of cuts

Jan. 25, 2024 08:22 AM EST
FRANKFURT, Germany (AP) — European Central Bank leaves its key interest rate untouched at a record-high 4%, while focus turns to timing of cuts.

Cutting interest rates too soon in Europe risks progress against inflation, central bank chief says

Jan. 17, 2024 09:03 AM EST

FRANKFURT, Germany (AP) — Cutting interest rates too soon could threaten Europe’s progress in battling the inflation that has ravaged the economy, the head of the European Central Bank said Wednesday amid widespread speculation that the bank soon will lower rates from record highs. ...

Europe's inflation is up after months of decline. Could it delay interest rate cuts?

Jan. 05, 2024 07:22 AM EST

FRANKFURT, Germany (AP) — Inflation plaguing Europe rose to 2.9% in December, rebounding after seven straight monthly declines as food prices rose and support for high energy bills ended in some countries. The rise in price levels fueled debate over how soon interest rate cuts could be expected...