ECB Cuts Rates to Guard Stalled Economy Against Tariff Threats

The European Central Bank cut interest rates to boost growth, with the region’s stalled economy facing twin shocks from Trump tariff threats and a sudden need to radically increase military spending.

The ECB reduced its key interest rate to 2.5% from 2.75% Thursday, widening a gap in benchmark borrowing costs with the Federal Reserve. It was the sixth cut in seven meetings.