European stock markets rose after ECB decision
European stock markets closed higher after the ECB’s decision to cut rates by 25 basis points.
The Stoxx Europe 600 index closed up 0.9%, the U.K.’s FTSE 100 rose by 0.1% and Germany’s DAX was higher by 0.2%. Meanwhile, France’s CAC 40 was the only major benchmark to fall 0.2%.
Euro zone government bonds rallied on Thursday as regional investors monitored the European Central Bank’s decision to cut interest rates by 25 basis points.
The move had been largely priced into markets, with LSEG data showing traders had given the quarter-point cut a more than 90% chance of going ahead before it was announced.
Shortly after the ECB announced it would reduce its key interest rate to 2%, the yield on German 10-year government bonds — seen as a benchmark for the euro zone — fell 4 basis points.
Source: CNBC
