FRANKFURT : Interest in Germany
The governing council of Germany’s central bank, the Bundesbank, holds one of its bimonthly meetings Thursday in Frankfurt amid hopes of further cuts in interest rates. Germany is under international pressure to lower its high rates, which are being blamed in part for slowing global economic recovery.
Short-term German interest rates are currently about 9%, compared with about 3% in the United States. Cutting the German rates would also ease pressure on other European countries to keep their own rates high.
The Bundesbank lowered its rates in September. Financial analysts say that, although further reductions are expected by the end of the year, it is far from certain that such action will come as soon as this week.
Start your day right
Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week.
You may occasionally receive promotional content from the Los Angeles Times.
