UK stocks pare gains after BoE statement

Note: This section contains information in English only.
Source: Dukascopy Bank SA

UK equities rose on Thursday as the ECB and BoE decided to left the core interest rates unchanged. The ECB left its key interest rate at record low of 0.75% while the BoE left the benchmark interest rate at 0.5% and maintained its debt-purchase target at GBP375 billion. Adding to the negative mood of the UK equities, Spain's borrowing costs increased during debt auction amid uncertainty whether the country will apply for the bailout. The FTSE 100 Index inched up by 0.08% to trade at 5,827.39. Eight out of ten sectors within the index rose. The best-performers were technology companies and consumer goods. Associated British Foods, British American Tobacco and Unilever climbed 0.15%, 0.76% and 0.13%. Financials also rose despite disappointing decision of the BoE. Barclays, HSBC and Standard Chartered moved higher by 0.84%, 0.60% and 0.14%. On the downside were oil and gas companies; BP and Royal Dutch Shell dropped 1.09% and 0.65%.

 

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