US up, ECB same

Story link: US up, ECB same

Currency markets were met by interest rate decisions that came as no surprise to the majority of commentators.

In the US, Alan Greenspan at the Federal Reserve oversaw a modest quarter percentile rate in US interest rates, bring them to 2.5%.

And in Europe, the European Central Bank left interest rates on the euro unchanged for the 20 month in succession.

While neither move was surprising, there are indicators that with a stronger economy behind it, US rates could rise steady thorugh 2005 to near 4%.

And with economic indicators becoming slightly more favourable, it’s envisioned that there may be increases in the near future for the euro as well.