How does a negative rate policy work?

Business Aug 14, 2019

How does a negative rate policy work?

This is how a negative rate policy works and its potential pitfalls: Why have some central banks adopted negative rates? To battle the global financial crisis accelerated by the collapse of Lehman Brothers in 2008, many central banks cut interest rates to near zero. A decade ...

At 20, euro remains a currency giant on fragile footing

Business Dec 28, 2018

At 20, euro remains a currency giant on fragile footing

The euro will turn 20 on Tuesday, marking two tumultuous decades that saw the single currency survive a make-or-break crisis and become a fixture in financial markets and Europeans' wallets. But it is destined to remain a fragile giant without closer eurozone integration, observers say. Born ...

ECB announces plans to end Eurozone stimulus program this year

Business Jun 14, 2018

ECB announces plans to end Eurozone stimulus program this year

The European Central Bank (ECB) says it will phase out its bond-buying stimulus program at the end of the year. The program has driven down borrowing costs and supported an economic recovery in the 19 countries that use the euro. The bank said after Thursday's meeting ...

Business Dec 9, 2016

ECB's asset tapering move hints at stimulus exit plan

The European Central Bank decided Thursday to extend its asset purchase program by nine months to the end of 2017 to boost tepid price growth, but pledged to reduce the monthly pace of buying from April. The ECB said it will continue asset purchases at ...

Business Mar 10, 2016

European Central Bank surprises with strong stimulus action

The European Central Bank cut all its main interest rates, expanded its bond-buying stimulus program, and offered new cheap loans to banks, making an unexpectedly aggressive effort to boost inflation and economic growth in the 19 countries that share the euro. The steps on most ...