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ECB did not consider any action at first meeting after Brexit: minutes

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European Central Bank rate setters agreed not to discuss any policy change at their July meeting and to reassess the situation in the following months despite rising risks linked to Britain's vote to leave the European Union, minutes of the meeting showed on Thursday.

[FRANKFURT] European Central Bank rate setters agreed not to discuss any policy change at their July meeting and to reassess the situation in the following months despite rising risks linked to Britain's vote to leave the European Union, minutes of the meeting showed on Thursday.

The accounts suggested the ECB, which will hold its next meeting on Sept 7-8, was in no rush to act, taking comfort from a calmer-than-expected market reaction to the Brexit vote and despite "clearly increased" risks.

"It was widely felt among members that it was premature to discuss any possible monetary policy reaction at this stage," the ECB said in the minutes. "More time was needed to assess the incoming information over the coming months, although downside risks had clearly increased."

Since that meeting, survey data failed to provide any clear sign of an economic hit from the Brexit vote outside of Britain and financial markets have remained relatively calm.

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