European stocks close lower, except for UK despite gloomy position

FTSE 100 gains 0.62% though Bank of England makes largest rate hike since 1989, says UK faces longest recession on record

By Ovunc Kutlu

ANKARA (AA) – European stock markets closed lower on Thursday except for the UK's FTSE 100.

The London stock exchange rose 44 points, or 0.62%, to finish the session at 7,188, despite witnessing its largest interest rate increase in 33 years.

The Bank of England earlier Thursday raised interest rates by 75 basis points, its largest single hike since 1989, and marking the eighth consecutive hike to tame record inflation.

Annual inflation jumped 10.1% in September, while it is expected to rise to 11% in the fourth quarter of this year, according to the UK’s central bank, which said Britain is facing its longest recession since records began in 1920s.

The STOXX Europe 600, which includes around 90% of the market capitalization of the European market in 17 countries, was down 3.84 points, or 0.93%, to close the fourth trading day of the week at 409.55.

Germany’s DAX 30 lost 126 points, or 0.95%, to close at 13,130, while France’s CAC 40 shed 33 points, or 0.54%, to end the day at 6,243 points.

Italy’s FTSE MIB decreased 96 points, or 0.43%, to 22,706.

Spain’s IBEX 35 was the worst performer of the day, plummeting 99 points, or 1.25%, to close at 7,868.

Kaynak: