LONDON — European markets extended their rally today following key interest rate decisions and ahead of the formal release of the results for the U.S. government's stress tests of the country's biggest banks.

The European Central Bank cut its main interest rate by a quarter point to 1 percent, the fourth such decision this year by the bank that sets monetary policy for the 16 countries that share the euro currency.

Meanwhile, the Bank of England kept official interest rates on hold at a record low of 0.5 percent — but increased its program to buy assets from banks to boost the amount of money in the economy.

Markets are awaiting a news conference with ECB President Jean-Claude Trichet for information about possible measures to get more money flowing through the euro zone economy as well.

Findings of the U.S. government's long-awaited tests of 19 banks leaked out Wednesday, a day ahead of the official announcement. Investors seemed relieved by media reports indicating the balance sheets of top U.S. banks weren't as bad as feared, though Bank of America and others were still facing huge capital shortfalls should the economy worsen. Some already had enough funds to weather the downturn.