LONDON (Reuters) – The euro was steady on Thursday, as were euro zone government bond yields, after the European Central Bank left interest rates unchanged and did not signal an imminent cut in September.
The euro last traded at $1.09325, after previously trading at around $1.09278. Against the pound, the euro was up 0.12% on the day at 84.20 pence, down from 84.175 pence before the ECB decision.
President Christine Lagarde is to give a news conference at 12:45 GMT, which could shed more lightweight on the details of the central bank’s decision and policymakers’ views on the likely path of interest rates.
The yield on two-year German bonds, the most sensitive to changes in interest rate expectations, rose 1.3 basis points on the day to 2.789%, unchanged from the level seen before the decision.
The spread between the yields on 2-year and 10-year bonds narrowed slightly to -34.9 bps from -35.3 bps previously.
European shares rose 0.4%.
