The ECB and the Bank of Switzerland cut interest rates

European Central Bank President Christine Lagarde announced a cut in the euro area policy rate by 0.25% to 3%, in line with analysts’ forecasts.

This is the third rate cut in the euro area since the start of the cut cycle.

The ECB’s decision notes a continuing decline in inflation rates

The Swiss National Bank today announced a reduction in the policy rate by 0.5% to 1%, although analysts had predicted a reduction of 0.25%.

The Swiss central bank was the first of the influential central banks to begin lowering the policy rate back in March 2024, several months before the ECB and the US Federal Reserve.