World stocks hit all-time high after ECB rate cut

SOURCE finance.yahoo.com
World stocks hit an all-time high and the euro rose after the European Central Bank cut interest rates for the first time in nearly five years, but also signaled that further moves could take a while.

Key Points

  • European Central Bank cuts interest rates for the first time in nearly five years
  • Market reaction mixed after ECB signals further moves could take time
  • Euro rises against the dollar while government bond yields increase
  • Global stock indexes hit record highs

Pros

  • World stocks reach all-time high
  • Euro rises after ECB rate cut
  • Positive market reactions

Cons

  • Inflation not expected to fall back to target until 2026
  • Uncertainty about future rate cuts