FTSE leaps as central banks move to boost liquidity

The FTSE 100 has moved 3% higher after the world's major central banks announced a move to boost liquidity within the financial system.

The UK's blue chip index, which began the day in negative territory, is now 154 points higher at 5,491, having passed the 5,500 mark following the announcements. The central bank action, taken by the Bank of Canada, Bank of England, Bank of Japan, European Central Bank, Federal Reserve and Swiss National bank, will commence on 5 December. "The purpose of these actions is to ease strains in financial markets and thereby mitigate the effects of such strains on the supply of credit to households and businesses and so help foster economic activity," the Bank of England said. "These cen...