- EU ECB Main Refinancing Operations Rate: 2.15% vs 2.15% expected, meets consensus
- EU ECB Rate On Deposit Facility: 2.00% vs 2.00% expected, meets consensus
ECB Interest Rate (July 24th 2025):
Breaking: The European Central Bank (ECB) voted to maintain rates at ~2.15% in their July decision, meeting consensus. Otherwise, the Rate on Deposit Facility was also held at 2.00%.
Having cut rates aggressively for much of 2025, the vote represents the first time in seven decisions where rates have not been lowered.
Key takeaway: Citing a recent uptick in inflation, the ECB has paused its current monetary easing cycle. While negotiations remain ongoing, US tariffs remain a large unknown for the EU economy, which has caused the ECB to become more hawkish compared to recent decisions.
The Governing Council today decided to keep the three key ECB interest rates unchanged. Inflation is currently at the 2% medium-term target. The incoming information is broadly in line with the Governing Council’s previous assessment of the inflation outlook. Domestic price pressures have continued to ease, with wages growing more slowly. Partly reflecting the Governing Council’s past interest rate cuts, the economy has so far proven resilient overall in a challenging global environment. At the same time, the environment remains exceptionally uncertain, especially because of trade disputes.
ECB Monetary Policy Statement, 24/07/2025
Market Reaction
In the minutes following the release, considering the result met consensus, the reaction remains somewhat muted. EUR/USD has risen by +0.02%, EUR/GBP by +0.03%, and EUR/JPY by +0.01%.
Updates to follow
Read more coverage on markets today: Markets Today: FTSE 100 Breaks Records as Euro Area Private Sector Growth Hits 11-Month Highs, ECB Meeting Ahead
Opinions are the authors’; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. The provided publication is for informational and educational purposes only.
If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please refer to the MarketPulse Terms of Use.
Visit https://www.marketpulse.com/ to find out more about the beat of the global markets.
© 2025 OANDA Business Information & Services Inc.
