The ECB cut its key rates by 25 bps effective June 11 after lowering its 2025 inflation forecast to 2%, with core inflation near target and modest GDP growth expected, but also cautioned against rising tariff uncertainty.

Data and Financial Journalist
The ECB cut its key rates by 25 bps effective June 11 after lowering its 2025 inflation forecast to 2%, with core inflation near target and modest GDP growth expected, but also cautioned against rising tariff uncertainty.
Inflation fell to 2.3% in April. The Fed is keeping rates steady at 4.25%-4.5% as new tariffs fuel inflation risks, prompting a cautious wait-and-see approach.
The Federal Reserve keeps its interest rate unchanged, maintaining its target range at 4.25% to 4.5%. When the Fed sets a target for interest rate, it commits itself to adjusting the money supply. To lower the Fed Funds rate, the Fed’s bond trades buy government bonds, increasing the money supply which in turn lowers the…
The Fed’s interest rate decision on Thursday coincides with the electoral victory of Donald Trump, who won both the popular and Electoral College votes in a strong political comeback in U.S. history, with promises of lowering inflation.