Yields in the eurozone fall, equities rise after the ECB rate hike

Feb 2 (Reuters) – Europe’s major indices rise as eurozone government bond yields fall after the European Central Bank raised its key rate on Thursday by another 50 basis points to 3.00%, in line with analysts’ forecasts.

European equities accelerated, with the pan-European STOXX 600 up 0.78% by 4:20pm GMT, Germany’s DAX up 1.39% and France’s CAC up 0.46%.

Yield of 10-year German bonds fell to 2.171% and 10-year Italian government bonds to 4.077%.

The yield on 10-year US Treasuries fell to 3.3745%.

The euro did not receive support from the expected decision of the European regulator and fell by 0.17% to USD 1.10.

The dollar index against a basket of major currencies is trading at 101.26.

The gold spot price rose slightly to $1,952.1 an ounce.

Palladium rose 0.2% to $1,672.89 an ounce, while silver gained 1.57% to $24.36 an ounce. The platinum price rose 2.44% to $1,027.96. (Reuter office in Gdansk)