Forex: EUR/GBP rise above 0.8860 after ECB Cuts Benchmark Interest Rate

Friday, May 8, 2009

EUR/GBP has reacted up after the ECB monetary policy decision, the pair has risen around 40 pips from 0.8825 to 0.8865 after the ECB cut its refi interest rate from 1.25% to 1.00%, the lowest level. Currently the pair is trading around 0.8850/60, 0.80% above today's opening price.

The European Central Bank Monetary Policy Committee has decided to trim its key interest rate by 25 basis points to 1.0% after its May monetary policy meeting.

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