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Interest rate decisions loom

The price of seafood in Britain has risen almost 12 per cent over the last 12 months, driven by inflation. Here at London's famous Billingsgate markets, traders say they've noticed the impact of global oil prices - which have reached a two and a half year high. (SOUNDBITE) (ENGLISH) FISH TRADER ROGER BARTON SAYING: ''Anything to do with transport has made everything go up. Because nine times out of ten now, fish comes by road." SOUNDBITE (ENGLISH) FISH TRADER DON TYLER SAYING: "We've been anticipating some changes - not only because of mixed weather throughout the country, but also perhaps more importantly through increased prices in fuel etc." Bank of England policy makers meet on Thursday to decide whether or not to raise interest rates - they face the dilemma that tackling high inflation could weaken economic growth. It's not the only Bank that will be watched closely. All eyes will also be on the European Central Bank - to see whether interest rates go up for the first time in almost three years. Traders in Germany believe an increase is inevitable. (SOUNDBITE) (GERMAN) O-TON STEFAN SCHARFFETTER, TRADER AT BAADER BANK SAYING: "We strongly believe that we will experience the first rate hike in a long time. 25 basis points is what we expect here - and is actually already priced into the market." But there are concerns an ECB rate rise could cause further problems for Ireland and Portugal, already struggling to deal with their sovereign debt crises. (SOUNDBITE) (English) DIRECTOR, MULTI-ASSET GROUP AND FIXED INCOME AND CURRENCY TEAM - BARRING ASSET MANAGEMENT, TOBY NANGLE SAYING: ''Interest rate hikes - while not necessarily helpful, will not alter their funding positions dramatically. What is more important though, is that in hiking the ECB will be stepping away from the periphery as a central concern." The euro hit a 14 month high against the dollar on Wednesday, ahead of the ECB's decision.