Business | Business News The FTSE 100 was higher amid a boost from the European Central Bank (ECB) opting to cut interest rates. The central bank cut interest rates to 3.75% in its first reduction since 2019, despite slightly increasing its inflation outlook for the year.
London’s top index finished 38.39 points, or 0.47%, higher to end the day at 8,285.
34. The main markets in continental Europe were higher as a result, with consumer companies particularly strong amid hopes it could support improved spending. The German Dax index was up 0.
38% at the close and the Cac 40 in France ended up 0.42%. Stateside, the main indexes opened higher after receiving a lift from AI chipmaker Nvidia’s continued share rally.
Chris Beauchamp, chief market analyst at IG, said: “Stocks on both sides of the Atlantic are up this afternoon, buoyed by a second central bank cutting rates and the fresh surge in Nvidia’s stock price. “The ECB joined the Bank of Canada in cutting rates this week, but it was in no hurry to hint at further cuts. “Recent inflation data has put paid to any idea of a consecutive move in July, but September could still see a cut as the bank looks to jump start the eurozone economy.
” Meanwhile, sterling was slightly lower against the euro and dollar following the rate cut decision. The pound was down 0.03% at 1.
278 US dollars and was down 0.09% at 1.174 euro at market close in London .
In company news, Mitie shares were in the red despite the outsourcer posting r.
