ECB to pump $235bn

The European Central Bank said on Friday it would provide 150bn euros in additional liquidity, which would include its first ever six-month refinancing operations.

The ECB said the move was "aimed at supporting the normalisation of the functioning of the euro money market."

Money markets are where banks and financial groups raise funds directly but they have dried up as US subprime home loans and resulting huge losses undercut confidence, leading to a global credit squeeze.