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Mortgage rates, too, while not yet significantly slowing home building, have now reached a three and a half year high.
The rate of growth in jobs has also remained close to November's two and a half year high.
Helped by the bid news, the FTSE 100 finished 54.30 points higher at 6686.06 after a downbeat start, hitting a five and a half year high - again.
As leading shares scaled new heights, with the FTSE 100 at yet another five and a half year high, it was no surprise to see a return of bid speculation, a popular pastime in bull markets.
In the headlines this midday, McDonald's stock jumped to a five and a half year high, after delivering a sharp rise in fourth-quarter profit.
Howard Archer, chief UK and European economist at IHS Global Insight, said there was "obviously a very strong case" for taking interest rates to zero given how far inflation had fallen and the fact the euro was currently trading at a two and half year high against the US dollar of $1.40.
Similar(51)
The Employment Trends Index reaches a three-and-a-half year high.
Normandy's share price has risen, surging to a three-and-a-half year high yesterday.
The Japanese yen has gained 8% against the dollar since early October, hitting a four-and-a-half year high of ¥102.6.
But two weeks ago the rate shot up to 6.6% and has stayed around that level, hitting an eight-and-a-half year high of 6.7% yesterday.
Output from the Organization of the Petroleum Exporting Countries was near a three-and-a-half year high of 31.43 million barrels per day in March, up 135,000 barrels from the previous month.
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