Key Euribor rates inch lower under weight of ECB cash

FRANKFURT, Sept 9 (Reuters) - Key euro interbank lending
rates fell to six-week lows on Thursday, showing little sign of
renewed worries that have hit the banking sector this week and
held down by last week's commitment from the European Central
Bank to continue pumping out unlimited cash into next year.

The three-month Euribor rate EURIBOR3MD= -- traditionally
the main gauge of unsecured interbank euro lending and a mix of
interest rate expectations and banks' appetite for lending --
dropped to 0.879 percent from 0.880 percent and the lowest since
mid-July.

Shorter-term one-week rates EURIBORSWD= fell to 0.502
percent from 0.505 percent, six-month rates EURIBOR6MD=
remained at 1.334 percent, while longer term one-year rates
EURIBOR1YD= bucked the trend rising to 1.415 percent to 1.412
percent.

Euribor 3-month rates have been drifting down since early
August after ECB loan repayments and euro-zone sovereign debt
fears earlier in the year had pushed them to year highs.

Overnight rates EONIA= dropped to 0.423 percent from 0.695
percent on Wednesday, a move prompted by banks juggling funds at
after the last day of the ECB's reserves maintenance period.

Despite the ECB's extension of unlimited funds until
mid-January, outstanding ECB lending has fallen more than a
third since the start of July to around 590 billion euros
ECBOMO=ECBF. Liquidity remains abundant though. Over 200
billion euros was deposited back at the ECB overnight via two
separate operations on Tuesday. ECB40
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For graphic of EONIA trading volumes click
here

For graphic of euro zone liquidity levels click
here
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Euribor rates are fixed daily by the Banking Federation of
the European Union (FBE) shortly after 0900 GMT.

* For a table of the latest Euribor fixings for terms of one
week to one year, double click on EURIBOR=

* For a table of the previous day's fixings of EONIA swap
rates, which show market expectations for future overnight
lending rates, double click on EONIAINDEX

* For graphs of historic Euribor and EONIA swap rates, right
click on the links in angle brackets below, and select 'Related
Graph'
1 week EURIBORSWD= EONIAINDEXSW=
2 week EURIBOR2WD= EONIAINDEX2W=
3 week EURIBOR3WD= EONIAINDEX3W=
1 month EURIBOR1MD= EONIAINDEX1M=
2 month EURIBOR2MD= EONIAINDEX2M=
3 month EURIBOR3MD= EONIAINDEX3M=
4 month EURIBOR4MD= EONIAINDEX4M=
5 month EURIBOR5MD= EONIAINDEX5M=
6 month EURIBOR6MD= EONIAINDEX6M=
7 month EURIBOR7MD= EONIAINDEX7M=
8 month EURIBORS8M= EONIAINDEX8M=
9 month EURIBOR9MD= EONIAINDEX9M=
10 month EURIBOR10MD= EONIAINDEX10M=
11 month EURIBOR11MD= EONIAINDEX11M=
1 year EURIBOR1YD= EONIAINDEX1Y=
(Reporting by Frankfurt newsroom)