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According to Dow Jones Newswires, the Stoxx Europe 600 index added 0.6 per cent to hit 282.36 points soon after opening this morning (April 8th 2011), with London's FTSE 100 up by 0.8 per cent at 6,056.53 and the German DAX gaining 0.7 per cent to reach 7,228.02.
Markets were relieved that Portugal had finally approached the European Commission for financial assistance after weeks of speculation. The European Central Bank's decision to increase eurozone interest rates also appeared to cause little concern.
"Inevitably the gradual withdrawal of monetary stimulus will prompt investors to reassess their asset allocation priorities," said Altium Securities economist Ian Williams. "We suspect that relative valuation considerations ... will support equities for a few more months yet."
The Bank of England's announcement that the base rate would be held at 0.5 per cent had been widely anticipated, with business groups including the British Chambers of Commerce welcoming the move.
Posted by Chris Weaver
