ECB Marginal Lending Facility Rate holds at 2.65%

The European Central Bank (ECB) today announced its Marginal Lending Facility Rate decision, holding the rate at 2.65%. This figure matches the previous rate of 2.65%. There was no consensus figure available for comparison.

Following the release, market reaction in EUR pairs has been relatively subdued. For example, EURUSD moved -8.5 pips five minutes after the release and -9.2 pips fifteen minutes after. This is small compared to its median 1-hour move of 25 pips and top-quarter moves of 39 pips or more, measured over 79 past releases. Similarly, EURJPY moved -9.5 pips after five minutes and -3.1 pips after fifteen minutes, which is also small relative to its median 1-hour move of 28 pips. EURCHF saw a +3.7 pips move after fifteen minutes, compared to its median 1-hour move of 9 pips. Overall, the measured moves across EUR pairs so far are small when compared to their typical historical volatility after similar releases.