INTEREST RATES SEEN STABLE IN EUROPE

INTEREST RATES SEEN STABLE IN EUROPE

French Finance Minister Pierre Beregovoy said he expected no further tightening in European interest rates.

He cited the Bundesbank's December increase in interest rates as a bid to control inflation and head off expected wage demands by German labor. France and Italy were among leading European nations that were obliged to follow the German move because of pressure on their currencies in the foreign exchange markets.