Strong euro rules out rise in interest rates

JITTERY stock markets and a strong euro rule out a rise in European Central Bank interest rates next week, economists said in a Reuters poll, and an increasing number say rates could stay on hold until next year.

The poll, taken July 22 to 24, showed 48 out of 51 economists expect the ECB to leave its benchmark repo rate unchanged at 3.25% for the ninth month running when it meets on August 1.

Two economists were undecided and one forecast a quarter point cut.