ECB Cuts Interest Rates as Growth Dwindles

CENTRAL BANK - FRANKFURT. The European Central Bank cut interest rates again on Thursday as inflation slows and economic growth falters, but provided no substantial clues to its next step, even as investors bet on steady policy easing in the months ahead.

The ECB lowered its deposit rate by 25 basis points to 3.50% in a widely telegraphed move, following up on a similar cut in June as inflation is now within striking distance of its 2% target and the domestic economy is skirting a recession.