ECB freezes rates again, but hints at cuts to come

(ANSA-AFP) - FRANKFURT AM MAIN, APR 11 - The European Central Bank held interest rates steady again Thursday but said slowing inflation could open the door to easing monetary policy, raising hopes of a first cut in June. It was the fifth consecutive time the central bank has frozen borrowing costs, with the key deposit rate sitting at a record high of four percent. The ECB had hiked rates at a record pace to tame red-hot price rises, but calls have been growing for cuts to begin as inflation falls and higher borrowing costs take their toll on the 20-nation single currency area. Eurozone inflation slowed more than expected in March to 2.4 percent -- not far off the ECB's two-percent target. A reduction Thursday was widely seen as unlikely with officials having repeatedly stressed they are waiting for more data that will only be available for their meeting in June. But in their statement, the central bank tweaked its language, saying most measures of underlying inflation were easing and wage growth -- a particular concern in recent months -- was "moderating". (ANSA-AFP).