The European Central Bank (ECB) kept interest rates on hold at 2 per cent as expected after blasts ripped through London's public transport system.
Politicians have been pressing the central bank for a rate cut to help faltering growth.
But analysts said the ECB would probably want more time to assess the economic damage from the London blasts and how much already shaky consumer sentiment may worsen.
"If there was any doubt the ECB would remain on hold, this has laid those doubts to rest," Jonathan Hoffman, European economist at Royal Bank of Scotland, said about the blasts.
The ECB kept rates steady after the Madrid train bombings in March 2004 that killed over 190 people. Financial markets were little changed after the decision.
The euro was at $1.1978 against the dollar versus $1.1985 shortly before the decision, while September Bund futures were steady at 123.36.
Markets are now waiting for ECB President Jean-Claude Trichet to explain the central bank's decision at a news conference at 12.30pm.
The Bank of England left interest rates unchanged from their previous level of 4.75 per cent after its monthly rate-setting meeting.
The central bank's decision not to change interest rates for the 25th month in a row follows the recent weakening of the euro, and continued high oil prices mean that maintaining price stability remains a concern for the ECB.