Select Language

ECB's Kazaks: Any further rate cut would be small

blockHeadVisual
  1. HOME
  2. Get information
  3. World FX news
  4. ECB's Kazaks: Any further rate cut would be small

World FX news

search
Breaking news

ECB's Kazaks: Any further rate cut would be small

  • X
  • facebook
  • LINE
  • RSS
  • X
  • facebook
  • LINE
  • RSS
New update 2025.07.01 19:06
ECB's Kazaks: Any further rate cut would be small

update 2025.07.01 19:06

European Central Bank (ECB) policymaker Martins Kazaks on Tuesday, "any further rate cut would be small."

"10% tariff and 10%+ Euro appreciation large enough to hurt exports," Kazaks said.

Market reaction

EUR/USD holds the Eurozone inflation data-led gains above 1.1800, up 0.24% on the day as of writing.

Interest rates FAQs

Interest rates are charged by financial institutions on loans to borrowers and are paid as interest to savers and depositors. They are influenced by base lending rates, which are set by central banks in response to changes in the economy. Central banks normally have a mandate to ensure price stability, which in most cases means targeting a core inflation rate of around 2%. If inflation falls below target the central bank may cut base lending rates, with a view to stimulating lending and boosting the economy. If inflation rises substantially above 2% it normally results in the central bank raising base lending rates in an attempt to lower inflation.

Higher interest rates generally help strengthen a country's currency as they make it a more attractive place for global investors to park their money.

Higher interest rates overall weigh on the price of Gold because they increase the opportunity cost of holding Gold instead of investing in an interest-bearing asset or placing cash in the bank. If interest rates are high that usually pushes up the price of the US Dollar (USD), and since Gold is priced in Dollars, this has the effect of lowering the price of Gold.

The Fed funds rate is the overnight rate at which US banks lend to each other. It is the oft-quoted headline rate set by the Federal Reserve at its FOMC meetings. It is set as a range, for example 4.75%-5.00%, though the upper limit (in that case 5.00%) is the quoted figure. Market expectations for future Fed funds rate are tracked by the CME FedWatch tool, which shapes how many financial markets behave in anticipation of future Federal Reserve monetary policy decisions.

Date

Created

 : 2025.07.01

Update

Last updated

 : 2025.07.01

Related articles

Show more

Writer

FXStreet

Financial media

arrow
FXStreet

FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.

Was this article helpful?
No loading Yes loading

We hope you find this article useful. Any comments or suggestions will be greatly appreciated.  
We are also looking for writers with extensive experience in forex and crypto to join us.

please contact us at [email protected].

Thank you for your feedback.
Thank you for your feedback.

Previous article

prev

USD: Focus on US data plus Powell at Sintra - ING

Next article

US Dollar Index (DXY) dives below 96.00 following upbeat Eurozone data

prev

Most viewed

GBP/USD eases from 3-year high as BoE turns dovish, US data beats

The Pound Sterling (GBP) loses ground versus the US Dollar after hitting a new three-year peak of 1.3788, just shy of the 1.3800 figure. Economic data from the United States (US), along with dovish comments of the Bank of England's (BoE) Governor Bailey, exerted downward pressure on the pair.
New
update2025.07.02 00:22

EUR/USD eases after hitting multi-year high, US data lifts Dollar

The Euro (EUR) edges modestly lower against the US Dollar (USD) during the American session on Tuesday, after briefly rising above the 1.180 mark earlier in the day, its highest level since September 2021.
New
update2025.07.02 00:19

USD/CAD rises as Fed Powell confirms data-dependent stance, strong US ISM and JOLTS data

The Canadian Dollar (CAD) is edging lower against the US Dollar (USD) on Tuesday, as traders digest the latest remarks from Federal Reserve (Fed) Chair Jerome Powell. 
New
update2025.07.01 23:50

US ISM Manufacturing PMI rose to 49.0 in June

Economic activity in the US manufacturing sector picked up some pace in June, with the ISM Manufacturing PMI advancing to 49.0 from 48.5 in May, coming in above experts' expectations of 48.8.
New
update2025.07.01 23:07

US JOLTS Job Openings rise to 7.76 million in May vs. 7.3 million expected

The number of job openings on the last business day of May stood at 7.769 million, the US Bureau of Labor Statistics (BLS) reported in the Job Openings and Labor Turnover Survey (JOLTS) on Tuesday.
New
update2025.07.01 23:06

Japanese Yen strengthens to over two-week high as US Dollar weakens, trade tensions linger

The Japanese Yen (JPY) gains against the US Dollar (USD) on Tuesday, reaching its highest level in over two weeks as the broadly weak Greenback remains under pressure amid fiscal uncertainty and dovish Federal Reserve (Fed) expectations.
New
update2025.07.01 22:12

US Dollar weakens as fiscal, tariff risks mount

The US Dollar (USD) continues to face selling pressure, with the US Dollar Index (DXY) currently trading around 96.45, its lowest level since February 2022, as it continues its descent for the ninth straight day.
New
update2025.07.01 21:51

Gold Price Forecast: XAU/USD climbs as Fed remarks, US ISM data, and trade uncertainty in focus

Gold prices climbed on Tuesday as investor attention shifted to a high-profile gathering of global central bankers in Portugal.At the time of writing, XAU/USD is holding firm above the $3,300 mark, with prices hovering above $3,350 ahead of key policy remarks expected at 13:30 GMT.
New
update2025.07.01 21:40

The ECB's strategy review: only small tweaks? - Rabobank

The ECB concluded its strategy assessment yesterday. The review does not suggest major changes in the conduct of monetary policy, nor in the communication of its policy decisions, Rabobank's Senior Macro Strategist Bas van Geffen reports.
New
update2025.07.01 21:00

Chinese Gold market in expansion mode - Commerzbank

China imported large quantities of Gold from Hong Kong for the second month in a row in May. According to data from the Hong Kong Statistics Department, net shipments to China amounted to 48.1 tons, compared to 43.4 tons in April.
New
update2025.07.01 20:48

Disclaimer:arw

All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.

The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.

arw
  • Facebook
  • Twitter
  • LINE

Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy

I agree
share
Share
Line

Line
Facebook

Facebook
X

Twitter
Cancel