ECB Stands Pat on Interest Rates Amid Oil Price Volatility

The European Central Bank (ECB) kept interest rates unchanged at 2.25% following its meeting on Thursday, amid uncertainty about how volatile energy prices will affect inflation.

The decision was made in response to recent hikes in oil prices due to the US-Iran conflict and subsequent interruption of oil shipments through the Strait of Hormuz.

The ECB had previously raised rates by a quarter-point at its June 11 meeting, aimed at mitigating the impact on consumer prices from higher oil costs.