The Euribor rate fell this Friday to three months and rose to six and 12 months compared to Thursday, remaining below 4% in all three terms.
With Friday’s changes, the three-month Euribor rate, which fell to 3.933%, remained above the six-month rate (3.914%) and the 12-month rate (3.738%).
The 12-month Euribor rate, currently the most commonly used rate in Portugal for variable rate home loans and which exceeded 4% between June 16 and November 28, rose this Friday to 3.738%, up 0.41 points than on Thursday, after September 29 rose to 4.228%, a new high since November 2008.
According to Bank of Portugal (BdP) data as of November 2023, the 12-month Euribor represented 37.4% of the volume of permanent homeownership loans with floating rates. The same data shows that the six- and three-month Euribor rates were 36.1% and 23.9% respectively.
For six months, the Euribor rate, which was above 4% between September 14 and December 1, rose this Friday to 3.914%, which is 0.007 points more than in the previous session, against the maximum since November 2008, 4.143%, recorded October 18. .
Conversely, the three-month Euribor rate fell this Friday compared to the previous session, settling at 3.933%, minus 0.012 points, and after rising on October 19 to 4.002%, a new high since November 2008.
At its latest monetary policy meeting on January 25, the European Central Bank (ECB) kept its benchmark interest rates unchanged for the third meeting in a row, following 10 hikes since July 21, 2022.
The next ECB monetary policy meeting will take place on March 7.
More significantly, the Euribor began to rise on February 4, 2022, after the ECB acknowledged that it might raise key interest rates due to rising inflation in the eurozone, a trend that accelerated with the start of Russia’s invasion of Ukraine in February. 24, 2022.
Three-, six- and 12-month Euribor rates hit record lows respectively: -0.605% on December 14, 2021, -0.554% and -0.518% on December 20, 2021.
Euribor is set as the average rate at which a group of 19 eurozone banks are willing to lend to each other in the interbank market.
Author: Lusa
Source: CM Jornal
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