Denmark lops off 5 basis points to contain krone
The National Bank of Denmark shaved 0.05 percentage points off its key lending rate on Thursday, taking it to 1.15% and bringing the gap between the Danish cost of borrowing and the eurozone's key rate, currently at 1%, to a historical low.
The central bank said: "The interest rate reduction is a consequence of purchases of foreign exchange in the market. The money-market rates in euro are very low and the spread to the equivalent Danish rates tends to strengthen the Danish krone."
George
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