The Euribor base rate has continued to fall. The most commonly used reference point for most mortgages in Spain, the Euribor is equivalent of the Libor in the UK, that is, the rate at which prime banks lend to each other in the wholesale money market. Spanish mortgage rates are generally fixed for a period of 12 months, if the reference point is the 12 month Euribor. Likewise for the 3 month rate. The ECB sets the base rate in the Eurozone, at which prime banks can borrow centrally from the ECB. The ECB is expected to cut rates further this week, which should, in turn, bring down the Euribor, and in turn lead to further reductions in Spanish mortgage rates.