Source Pravda.Ru

ECB President: A good deal of uncertainty related to oil prices

The pound and the euro showed little reaction as both the Bank of England and the European Central Bank elected to leave interest rates unchanged this month, as expected.

The dollar was little changed against the &to=http:// english.pravda.ru/main/18/89/356/10110_.html ' target=_blank>euro as all eyes fix onto Friday's crucial US jobs report for September in the wake of the European Central Bank's expected decision to keep the cost of borrowing at six-decade lows of 2.00 percent.

The Bank of England also kept its key repo rate unchanged at 4.75 percent and analysts will be keen to see the minutes to the meeting on October 20 to see how many more, if any, rate rises are in the pipeline.

A raft of weak economic data in recent weeks has raised the prospect that interest rates are at, or near, their peak and could be on their way down next year, says Channel News Asia.

&to=http:// english.pravda.ru/economics/2002/06/08/29979.html ' target=_blank>ECB President Jean-Claude Trichet repeatedly stressed his "strong vigilance" over inflationary threats. But at a news conference after an ECB Governing Council policy meeting, he tempered this with new growth worries.