The European Central Bank cut interest rates on Thursday and kept the door open to further policy easing as concerns over lacklustre economic growth supersede worries about persistent inflation. It was the fifth ECB rate cut since June and markets expect two or three more this year,

Despite making similar moves in the recent past, the European Central Bank and the Federal Reserve are now at different junctures.

The ECB’s deposit rate was cut to 2.75% from 3%, the lowest in nearly two years. The ECB said the move was “based on its updated assessment of the inflation outlook, the dynamics of underlying inflation and the strength of monetary policy transmission.”