ECB Follows Fed With Pause on Interest Rates. Watch for Talk on Cuts.

The European Central Bank held borrowing costs steady on Thursday. It paused the most aggressive cycle of interest-rate hikes in its history as the eurozone faces economic growth headwinds and inflation well above the 2% target. A pause—the first time that ECB President Christine Lagarde and Co declined to tighten monetary policy since last July—follows the lead set by the Federal Reserve, which similarly held rates steady last month and could do so again next week.