The translation of the heading to English is: "ECB lowers key interest rates again: European economy under the microscope.

The European Central Bank (ECB) has cut the key interest rate by 25 basis points for the third time this year, marking the first consecutive cuts in 13 years. This move reduces the deposit rate for banks at the ECB to 3.25%, down from 3.5%. Financial markets now almost fully anticipate three more rate cuts by the coming March. These interest rate adjustments come against the backdrop of weak economic growth, putting pressure on central bankers to ease monetary policy. Forecasts suggest that Germany, Europe's largest economy, could slide into recession for the first time in two decades for two consecutive years. At the same time, the inflation rate in the euro area saw a sharper drop than expected last month. According to Eurostat, consumer prices fell by 1.7% in September compared to the previous year, whereas they had risen by 2.2% in August. This brings annual inflation below the 2% mark for the first time since June 2021, which the ECB considers ideal for price stability. Energy prices fell by 6.1%, while services increased by 3.9%, food, alcohol, and tobacco by 2.4%, and goods by 0.4%. Among the individual member states, Ireland had the lowest annual inflation at 0.0%, while Romania reported the highest at 4.8%. Overall, annual inflation declined in 20 of the 27 EU member states compared to August. Despite the current decline, the ECB warned that inflation could increase again in the coming months before receding over the next year. Due to persistently high wages, domestic inflation rates remain elevated, although labor costs are expected to gradually ease. Before the ECB meeting, the euro dropped to its lowest level in two and a half months, hovering around the 1.0850 US dollar mark. Finally, the ECB also cut the main refinancing rate to 3.4% and the marginal lending rate to 3.65%. These interest rates determine the costs for banks borrowing from the ECB on a weekly and overnight basis. ECB President Christine Lagarde had previously emphasized that the latest data strengthened confidence that inflation would return to target in a timely manner. A highly anticipated press conference by Lagarde at 2:45 PM CEST could provide further insights into monetary policy decisions.