Euro Central Banks Slash Interest Rates

Bank of England drops rate to 2%, ECB to 2.5%, Sweden to 2%

By Jim O'Neill, Newser User

Posted Dec 4, 2008 7:21 AM CST

(Newser) – The Bank of England cut interest rates a full 1% today to 2%, the lowest level since 1939, and the European Central Bank followed with a cut of 75 basis points, to 2.5%, the largest cut in its 10-year history, MarketWatch reports. Those moves came on the heels of a 175 basis point cut by the Swedish Central Bank—its largest cut ever—also to 2%, as economic woes continue to spur global money authorities to ratchet down rates.

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The Euro sculpture is photographed through the logo of the European Central Bank ECB in front of the ECB in Frankfurt, central Germany. (AP Photo/Daniel Roland)

The Euro sculpture in the sun in front of the European Central Bank ECB building, background, in Frankfurt, Germany. (AP Photo/Bernd Kammerer)

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Our forecast of the deepest four-quarter GDP slide in the developed world since World War Two appears to be on track."
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Euro Central Banks Slash Interest Rates