FTSE 100 Back Over 6,000, ECB Increases Interest Rates

London, United Kingdom (PressExposure) July 07, 2011 -- Spread betting provider City Index (http://www.cityindex.co.uk/) takes a look at the financial activity shaping the markets on 7th July 2011.

The European Central Bank (ECB) has made three lots of interest rate hikes this afternoon (July 7th), with European stocks going on to trade higher.

In London, the FTSE 100 managed to once again rise above the 6,000-point mark, standing at 6,060.35 points as of 14:26 BST - almost a percentage point above yesterday's close.

Meanwhile, the German DAX was up by 0.86 per cent and the French CAC-40 had soared by 1.16 per cent.

The FTSE Italia All-Share was trading 0.78 per cent higher 20 minutes later.

Coming into effect from July 13th this year, the main refinancing operations interest rate was hiked by the ECB to 2.25 per cent, a 25 basis points lift.

Indeed, the marginal lending and deposit facilities' interest rates were increased by the same amount to reach 2.25 per cent and 0.75 per cent respectively.

ECB president Jean-Claude Trichet stated: "Our decision will contribute to keeping inflation expectations in the euro area firmly anchored in line with our aim of maintaining inflation rates below, but close to, two per cent over the medium term."

See the City Index Economic Calendar for more information on the latest market moving events

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Press Release Submitted On: July 07, 2011 at 11:14 am
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