July 14, 2016 / 7:32 AM / in 2 years

European shares rise to highest level since Brexit vote day

LONDON, July 14 (Reuters) - European shares climbed to a three-week high on Thursday, led by commodities-related stocks, with sentiment improving on expectations that the Bank of England will cut rates later in the day to spur growth.

The pan-European STOXX Europe 600 and the FTSEurofirst 300 indexes were up 1.1 percent and 1.0 percent respectively in early deals, at their highest level since June 23 - the date when Britons voted to decide on whether they wanted to stay in the European Union or leave.

The result the next day showed that the “Brexit” camp had won the referendum, resulting in a sharp sell-off in shares in the following two days before the market then partly recovered on expectations of aid from central banks.

The BoE is widely expected to cut interest rates for the first time in more than seven years as it tries to cushion the economy from the Brexit vote.

The European mining index rose 2.2 percent, the top sectoral gainer, tracking gains in metals prices. The energy index rose 1.6 percent, while autos were up 1.9 percent. (Reporting by Atul Prakash; Editing by Sudip Kar-Gupta)

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