Mexican Media Brands
ECB Cuts Interest Rate, Launches Stimulus Plan
As expected, the European Central Bank has taken steps to add liquidity to the eurozone's financial system and stimulate the region's economy.
#economics
Share
As expected, the European Central Bank has taken steps to add liquidity to the eurozone's financial system and stimulate the region's economy.
The ECB lowered its benchmark lending rate to 0.05% and said it will begin buying private debt products from banks.
Economists had urged the central bank to take action as eurozone inflation neared zero and threatened to dip into a destructive deflationary spiral.
The ECB now forecasts eurozone inflation will be 0.6% this year and 1.1% in 2016, well below its target 2% rate. The bank also has downwardly revised its outlook for the region's economic growth to 0.9% this year and 1.6% in 2015.
ECB President Mario Draghi says the bank's stimulus measures strike a balance between the desire of some council members to do less and those that urged a more aggressive quantitative easing plan similar to those adopted by the Bank of England and U.S. Federal Reserve.
RELATED CONTENT
-
Inside Ford
On this edition of “Autoline After Hours” Joann Muller, Detroit bureau chief for Forbes, provides insights into what she’s learned about Ford, insights that are amplified on the show by our other panelists, Stephanie Brinley, principal analyst at IHS Markit who specializes in the auto industry, and Todd Lassa, Detroit Bureau Chief for Automobile.
-
What Suppliers Need to Know Right Now
This is a time of reckoning for the auto industry, says Paul Eichenberg. He has some recommendations as to how companies can make their way through it.
-
Enterprise Edges into Self-Driving Car Market
U.S. rental car giant Enterprise Holdings Inc. is the latest company to venture into the world of self-driving vehicles.