2012.06.05 09:18:59 Use Of ECB Standing Facilities Falls Monday

FRANKFURT--Banks' use of both European Central Bank standing facilities fell Monday compared with the previous trading day, ECB data showed Tuesday. Banks deposited EUR781.499 billion in the overnight deposit facility Monday, compared with EUR784.973 billion deposited Friday. Banks borrowed EUR510 million from the overnight lending facility Monday, below the EUR710 million borrowed Friday. Overnight borrowing has now been below the EUR1 billion level for the last three trading days. Overnight deposits at the ECB have been exceptionally elevated since the ECB flooded the markets with more than EUR1 trillion in three-year loans late last year and earlier this year. The ECB pays a 0.25% interest rate on the overnight deposits while it charges a punitive 1.75% interest rate on the emergency borrowing, compared with its benchmark rate of 1.0%. Write to Todd Buell at todd.buell@dowjones.com (MORE TO FOLLOW) Dow Jones Newswires June 05, 2012 03:18 ET (07:18 GMT)