1245 GMT – The euro stays weak against the dollar after the European Central Bank ended a run of 10 consecutive rate rises by leaving interest rates on hold as expected, and after U.S. gross domestic product data for the third quarter was stronger than expected. The ECB that signaled rates look unlikely to rise further. “The key ECB interest rates are at levels that, maintained for a sufficiently long duration, will make a substantial contribution to this goal [the ECB’s 2% inflation target],” it said. The euro briefly hit a one-week low of 1.0528 as data shortly after the ECB decision showed the U.S. economy expanded by 4.9% in 3Q. EUR/USD trades down 0.2% at 1.0549, versus 1.0540 before the ECB decision.

Euro Weakens, Could Slip Further After ECB Meeting, U.S. GDP Data

1046 GMT – The euro falls against a broadly stronger dollar and could drop further after a European Central Bank decision at 1215 GMT and the first estimate for third-quarter U.S. GDP figures at 1230 GMT, UniCredit Research analysts say in a note. The ECB is widely expected to hold rates unchanged due to recent weak economic data, while the U.S GDP data are expected to show a solid economic performance which will likely see the euro “slip a little further” agaimst the dollar, they say. “We expect the ECB meeting to be uneventful and thus see the market reaction as probably being mostly concentrated on U.S. economic growth numbers.” The euro falls 0.2% to $1.0542. UniCredit expects that eurozone interest rates have peaked. ([email protected])