interest rate

Markets fluctuated Friday at the end of a strong week for equities fuelled by growing expectations that the Federal Reserve will cut interest rates again next month.

TOKYO—Hopes that Japan’s central bank could soon raise interest rates got a lift on Friday from data showing broad strength in the economy.

The European Central Bank believes interest rates are at the right level for now, minutes of its October meeting showed on Thursday, although the door is open to possible future rate cuts.

Mounting expectations that the Federal Reserve will cut interest rates next month have also contributed to the recovery.

That boost to inflation is one reason why the BOE’s key interest rate is twice the level of the European Central Bank’s.