But it is the Bank of England the surprise

Yesterday, all eyes were on to the European Central Bank, waiting for the speech of Jean-Claude Trichet, its President. But it is the Bank of England, the surprise. Against all expectations, the Institute of issue noted yesterday rates by 25 points to 4.75, relying on, on the one hand, a "pace of economic activity accelerates for a few months" and, on the other hand, inflation that has "accelerated to 2.5 in June and is expected to remain above the target of 2 for a while."

Only the 46 8 economists surveyed by Bloomberg had made such a prediction. At the time, Futsee 100 index has amplified its losses in London Stock Exchange to conclude on a decline from 1.58, to 5.838,40 points. As the pound sterling, is assessed by 0.46, to 1,8857 dollar (after a high point in the meeting at 1,8914), while the euro dropped 0.53, to 0,6780 book.

Added to the strength of the tone of Jean-Claude Trichet, at the end of a meeting of the ECB to a new rise of refinance rate by 25 basis points to 3, news from the central banks yesterday, the Denmark and South Africa have also tightened their policy monetary have failed in the bond market, prey to strong tensions. The rate of the loan of British State for 2 years is handed 14 of 4,865 base points, and 10 years rose 9 points to 4,721. On the futures market, the rate of the sterling contract 3 months deadline December jumped by 16 basis points to 5.16.

ECB: visit on 5 October

The titles of the euro area are not emerged free from this day. The rate of the duty of State French in 10 years rose 4 points to 3,979 and that of the 2 years of 7 points to 3,597, while the market found its expectations of higher rates of here at the end of 2006. The rate of Euribor 3 months contract deadline December is stretched 5-point base, 3.62, returning to its level of mid-July. Stakeholders attribute 84 probability to the hypothesis of a rate to 3.5 at year end.

Further interest rate rises will be needed if continued economic recovery, has warned the President of the ECB, stating that the risks were increasing and that they had increased with respect to the prospects for inflation. The Bank expects inflation above its objective, close, but less than 2 for 2006 and 2007. At the same time, the situation continues to improve on the growth front, he added. And to indicate that rates are easy-going.

Martin van Vliet, an economist at ING, such statements suggest a new rate hike in October, with a high probability of a further gesture before the end of the year. "The ground has been prepared for next higher rates on 5 October and, at the press conference, the ECB has given no sign it was ready to stop," says Ken Wattret at BNP Paribas.

If from the previous meeting, the tone has not radically changed, Ken Wattret still seen significant changes, including an inflation risk that "increased". In fact, it retains its goal of a rate of refinancing to 3.5 by end of 2006.

So far, the euro took not lasting the circumstances. After a peak at 1,2834 dollar, the currency fell to 1,2785 dollar ( 0.14). On the eve of the US July employment report, foreign exchange dealers were not inclined to take new paris and allow the equity out of the range of fluctuation in which she locked it these days. The greenback also returned to 0.61, to 115,29 yen.