European Central Bank lifts key rate a quarter point

Marketwatch reports:

The European Central Bank on Thursday made its sixth interest-rate hike in a year, lifting its base rate by a quarter point as the European economy continues to accelerate.
The bank's concerned there's too much money around for companies and consumers to spend.
The ECB, in a well-choreographed move, lifted its key interest rate to 3.5% from 3.25%. ECB President Jean-Claude Trichet said the decision was unanimous.
The central bankers in Frankfurt, who unlike their Federal Reserve counterparts are keen watchers of money supply, are acting as the money supply is rising at an 8.5% rate.
The ECB, which sets rates for countries that use the euro as their currency, favors growth closer to 4.5%. With money supply on the rise, the ECB is acting even as annualized inflation at 1.8% is below its target of near 2%.
"The rate of monetary and credit expansion remains rapid, reflecting the low level of interest rates and the strengthening of economic activity in the euro area," Trichet said.

This may eventually cause higher U.S. interest rates.