FTSE up 0.48%; DAX up 0.79%; CAC 40 up 0.70% (Il Sole 24 Ore Radiocor) - London, 23 Aug - European shares closed higher after Federal Reserve chairman Jerome Powell indicated the time has arrived for the US central bank to begin lowering its interest rates.

Powell said inflation had declined "significantly", adding the labor market was no longer overheated, and "conditions are now less tight than those that prevailed before the pandemic.' According to the CME's FedWatch tool, the market is currently discounting a 65.5% chance of a 25 basis point cut and a 34.5% chance of a 50 point cut.

The London FTSE 100 closed up 0.48% at 8,327.78 points, the Frankfurt DAX added 0.79% at 18,640.86 points, the Paris CAC 40 gained 0.70% at 7,577.04 points, while in Milan the FTSE MIB rose 1.02% at 33,650.17 points, and in Madrid the IBEX 35 closed 1.16% higher at 11,286.25 points.

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(RADIOCOR) 23-08-24 18:01:25 (0417) 5 NNNN