The Euribor rate fell this Thursday for three, six and twelve months compared to Wednesday, with the monthly average for November rising slightly in the shorter term and falling in the two longer terms.
This probably indicates that the peak has already been reached: the Euribor average rose by only 0.004 points to 3.972% for three months in November (compared to 3.968% in October) and fell by 0.050 points to 4.065% for six months (compared to 4.115%) and 0.138 points to 4.022% after 12 months (vs. 4.160%).
With this Thursday’s changes, the 12-month Euribor fell below the six-month interest rate and the 4% level for the second time since June 15.
The 12-month Euribor rate, currently the most used in Portugal for variable rate home loans and which was above 4% between June 16 and November 28, fell this Thursday to 3.926%, 0.057 points less than on Wednesday, after an increase in September 29 to 4.228%, a new high since November 2008.
After falling in August, the 12-month Euribor average fell in November for the second time in the current cycle of increases.
According to data from Banco de Portugal for September 2023, the 12-month Euribor represented 38.1% of the stock of permanent home ownership loans with variable rates. The same data shows that the six- and three-month Euribor represented 35.7% and 23.4% respectively.
In the same sense, the Euribor rate, which entered positive territory on June 6, 2022, fell this Thursday within six months to 4.029%, 0.021 points less than in the previous session and against the maximum since November 2008, 4.143%. registered on October 18.
The drop in the six-month Euribor average in November was the first in the current bull cycle.
The three-month Euribor also fell this Thursday compared to the previous session, settling at 3.964%, minus 0.011 points, after rising to 4.002% on October 19, a new maximum since November 2008.
The Euribor started to rise significantly from February 4, 2022, after the European Central Bank (ECB) admitted that it may raise key interest rates due to the rise in inflation in the Eurozone, and the trend was reinforced when the Russian invasion of Ukraine began. on February 24, 2022.
At the most recent monetary policy meeting, on October 26 in Athens, the ECB maintained benchmark interest rates for the first time since July 21, 2022, after ten consecutive increases.
The next ECB monetary policy meeting, which will be the last this year, will take place on December 14.
The three-, six- and twelve-month Euribor interest rate recorded a historic low of -0.605% on December 14, 2021, -0.554% and -0.518% on December 20, 2021, respectively.
Euribor is determined by the average of the rates at which a group of 19 banks in the eurozone are willing to lend each other money on the interbank market.
Source: DN
