Europe’s monetary guardian to make a final conclusion with additional bond purchases: Only until the end of this year, the European Central Bank (ECB) is fresh billion in the purchase of government and corporate bonds. The governing Council of the ECB decided on Thursday in Frankfurt. In September, the ECB had set the expiry of the bond purchases by the end of the year, now she has decided to finally set him free.
The interest rate in the Euro area, the ECB keeps record low of zero percent, commercial banks can get Central Bank money at zero cost. Savers are suffering from the interest rate doldrums. The turn to higher interest rates want to usher in the guardians of the Euro at the earliest, in the autumn of 2019.
zero interest rates until at least the end of next summer
confirmed to The ECB that the interest rates until “at least the summer of 2019” will remain at the current level. You may receive an interest rate increase shall be effected only under the successor of ECB President Mario Draghi – perhaps even until 2020. The eight-year term of the Italian runs out at the end of October 2019.
economists expect the ECB will reduce in a first step, the penalty interest for credit institutions. Currently 0.4 per cent criminal interest rates for parked money at the ECB is due. Savers have to wait before reverting to higher interest rates. Because at the same time, the Inflation attracts tend to be, losing savers on the puny interest rates day – or fixed Deposit accounts. On the other hand, house builders, for instance, benefit from a comparatively favourable credit conditions.