Euro rate held

The European Central Bank (ECB) has announced its decision to hold interest rates again.

Yesterday saw the governing council maintaining its three rates at their current levels, a move that came shortly after the Bank of England's decision to keep sterling rates the same.

Explaining the move, president of the ECB Jean-Claude Trichet remarked that the eurozone economy is "stabilising and is expected to recover at a gradual pace," although progress will be "uneven" in the months ahead.

This may suggest that the inflationary pressures in the eurozone will remain low for the time being, which could help keep down the cost of mortgages for those buying property in countries like France.

Revised data from the European Union published this week has stated that the eurozone as a whole saw an economic contraction of 0.2 per cent in the second quarter.

The figures confirmed that France achieved 0.3 per cent growth during the period.

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