The European Central Bank left interest rates at 1 percent on Wednesday, dashing some market expectations that it might move quickly to combat fears about the health of the euro zone.
Markets were unsure how the ECB would react to the recent wave of weak economic data, knowing that the bank also wants to keep the pressure on euro zone leaders to tackle the crisis more effectively.
"I can imagine that the market is a little disappointed that they didn't cut rates," said Rabobank economist Elwin de Groot.
"It had been pricing some action on this front. Eonia swap rates have been trading at 0.272 so the key question for the market now is whether the ECB will cut rates next month and whether it is willing to also lower the deposit rate."
The euro was steady at $1.25 after the decision, Europe's benchmark stock market trimmed gains, while closely watched German bund future were also little changed.
Focus now flips to the ECB's 1230 GMT news conference where head of the bank, Mario Draghi, will detail the decision, give its latest assessment of the euro zone's troubles and lay out any additional support that it plans to put in place.
It is widely expected to announce a lengthy extension to banks unlimited access to ECB loans, while experts are also looking for any hints of another injection of 3-year funding and a further loosening of its lending rules to ensure troubled banks can get ECB money.
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