“This morning, the ECB took the radical stepof cutting its deposit rate to negative 0.1 percent. It also lowered its benchmark lending rate (similar to the federal funds rate the U.S. Federal Reserve has been raising and lowering for decades) to 0.15 percent from 0.25 percent. Furthermore, it tried to boost the mortgage and business loan businesses by offering to buy Asset Backed Securities (ABS) and by launching more Long-Term Refinancing Operations. While central banks in Sweden and Denmark took tentative steps in the direction of negative rates, the ECB’s move is unprecedented because no major world central bank has ever tried it before.”
http://www.moneyandmarkets.com/ecb-bank-with-us-and-well-charge-you-interest-61946
Related posts:
You Can't Argue With a Sick Mind ...
Bill Bonner: Larry Summers Was a Lousy Choice Anyway
A Deal With North Korea: Don’t Blow It This Time
The U.S. Destruction of Afghanistan
Should Advocates of Small Government Escape to Canada?
The Left’s New Attack on Self Insurance: Obamacare Sleaze?
US Elections: Far Worse Than Iran
Defeated By The Taliban, Washington Decides To Take On Russia And China
Judge Napolitano: Obama Has Not Hesitated To Kill Foreign & American Innocent Children With Drones
Will Canada’s hard line on Eritrea’s ‘diaspora’ tax apply to the U.S.?
European Plastic Straw Ban Won't Save the Oceans
Ex-CIA Agent Philip Giraldi on Syria War
FATCA Overreach Will Sabotage American Global Competitiveness
Concealed Carry Proves Guns Are Part of Solution to Gun Violence
James Bovard: Facebook/Russia farce shows lawmaker deviousness, demagoguery