Denmark cuts interest rates for the third time in 10 days

FXStreet (Barcelona) - The Denmark’s Central Bank announced another interest rate cut; its third in the last ten days. The decision to cut rates, followed the Nationalbank's purchase of foreign exchange in the market.

The bank released a notification stating, “Effective from 30 January 2015, Denmarks Nationalbank's interest rate on certificates of deposit is reduced by 0.15 percentage point to -0.50 per cent. The lending rate, the discount rate and the current account rate are unchanged.”

The bank has aggressively reduced rates and intervened in FX markets in last two weeks in order to preserve the EUR/DKK peg.

Danmark's Nationalbank's interest rates now stand at:

Lending rate: 0.05%

Certificate of deposit rate: -0.50%

Current account rate: 0.00%

Discount rate: 0.00%.