European markets hold steady after ECB rate cut

LONDON (Reuters) - Euro zone government bond yields, the euro and European stocks held steady on Thursday after the European Central Bank cut its main interest rate for a second time in three meetings, in line with expectations.

The euro was last at $1.1019, up less than 0.1%.

The German 10-year bond yield, the benchmark for the euro zone, was little changed after the decision at 2.124%, up two basis points on the day.

The pan-European benchmark STOXX 600 index held gains and remained higher by 1.1%, while an index of euro area banks was up 1.8%.

Attention was now set to turn to the post-decision press conference from ECB President Christine Lagarde at 1245 GMT.

(Reporting by Samuel Indyk; Editing by Amanda Cooper)