Ex-div stocks cap gains (Il Sole 24 Ore Radiocor) - London, 06 Jun - UK shares closed higher after the European Central Bank cut rates for the first time since September 2019.

Despite the rise in inflation forecasts, investors still believe the ECB is likely to cut interest rates in September.

Speaking after the rate cut, ECB president Christine Lagarde emphasized that the bank is now more confident that inflation is falling toward 2% in the medium term.

Traders hope the ECB's move may set the stage for more central banks to follow suit later in the year.

Investors are betting the Federal Reserve will make its first policy pivot in September, providing inflationary pressure shows clear signs of subsiding.

Among individual stocks, JD Sports rose 1.46% at 128.15 pence after US peer Lululemon lifted its earnings guidance.

Weighing on the index, Vodafone shed 5.79% at 72.20 pence, WPP lost 3.45% at 778.80 pence and National Grid dropped 4.17% at 864.00 pence, as all three companies traded ex-dividend.

The London FTSE 100 closed up 0.47% at 8,285.34 points.

AAA-Zap

(RADIOCOR) 06-06-24 18:30:34 (0638) 5 NNNN