The European Central bank raised their interest rates today by 0.25% for the first time since 2008 in an attempt to fight inflation. The rate reached to 1.25% from 1.00% as expected.

They also raised the marginal lending rates to 2.0% from 1.75% while the deposit rates were increased to 0.5% from 0.25%.

This decision comes despite the expanding sovereign credit crisis, as Portugal asked for a bailout, to be the third county to do so after Greece and Ireland.