LONDON: Europe’s main stock markets rallied on Thursday, with Frankfurt back above 10,000 points for the first time since Britain voted to exit the EU.
All eyes were on London after the appointment of a new British finance minister and as traders waited to see if the Bank of England would cut its main interest rate to a new record-low level under 0.50 percent.
Around 1030 GMT, London’s benchmark FTSE 100 index was 1.0-percent higher compared with the close on Wednesday.
In the eurozone, Frankfurt’s DAX 30 jumped 1.5 percent and the Paris CAC 40 won 1.1 percent.
The Bank of England announces its latest monetary policy decisions at 1100 GMT, with markets betting that it could cut its interest rate and announce more cash stimulus to support the British economy in the wake of Brexit.
Britain’s new Prime Minister Theresa May meanwhile on Wednesday appointed Philip Hammond as finance minister, replacing George Osborne.
“Safe hands in Philip Hammond appointed to oversee the UK economy post-Brexit, as well as the very real chance of a Bank of England rate cut, are the main factors driving sentiment,” said Jasper Lawler, analyst at traders CMC Markets.
