European Central Bank leaves rates unchanged as world’s central banks wrestle with when to cut

By DAVID McHUGH
AP Business Writer

FRANKFURT, Germany (AP) — The European Central Bank is leaving its key interest rate benchmark unchanged, choosing to wait for confirmation that rapidly receding inflation is firmly under control before cutting rates to support an economy that’s struggling to grow. The bank’s rate-setting council said Thursday in its post-decision statement that, “Most measures of underlying inflation are easing… But domestic price pressures are strong and are keeping services price inflation high.” President Christine Lagarde’s news conference will be scrutinized for hints about the potential downward path of rates at future meetings.