ECB offers 94.84bn euros to boost liquidity

The European Central Bank (ECB) injected 94.841 billion euros ($129.65 billion) into euro-zone money markets today to help calm jittery markets roiled by credit problems, according to a report by Reuters.

ECB said it had allotted 1-day securities at a fixed rate of 4% to all banks bidding for funds as it had promised earlier in the day when it launched the tender.

"The liquidity-providing fine-tuning operation aims to assure orderly conditions in the euro money market. ECB intends to allot 100% of the bids it receives," ECB said when it called for bids.

ECB said 49 banks participated in the tender.

Shortly after the tender results, overnight borrowing rates retreated to around 4.10% - a little above ECB's 4% target rate but down markedly from 4.62%.

Earlier, the rates spiked to their highest level since October 2001 on market nervousness that US subprime problems were hitting European banks.