The Bank of France said it cut...

The Bank of France said it cut its key interest rates in response to the French franc’s strength and a lower inflation rate. The French central bank cut its money market intervention rate to 7.25% from 7.50%, its lowest since last June, and reduced its seven-day repurchase rate to 7.75% from 8%. It said that the move took account of the “healthy development in inflation,” which fell to annual rate of 3.1% at the end of December from a 1987 peak in August of 3.5%.