ECB cuts key rate, to restart bond purchases

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FRANKFURT - The European Central Bank approved a fresh stimulus package as expected on Thursday, cutting interest rates and approving a new round of bond purchases to prop up eurozone growth and halt

a worrisome drop in inflation expectations.

With inflation falling, Germany skirting a recession and a global trade war sapping domestic confidence, the ECB had all but promised more support to the economy and the only question was how extensive stimulus would be. The ECB also eased the terms of its long term loans to banks and introduced a tiered deposit rate to help banks.

 

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