LONDON, July 10 (Reuters) - The interbank cost of borrowing
dollar, euro and sterling funds for three months marked fresh
lifetime lows on Friday, according to the latest daily fixing
from the British Bankers' Association.

The fixings came a day after the Bank of England decided not
to expand its 125 billion pound asset buying scheme, raising
questions about whether it was ending its quantitative easing
programme or just pausing.

Gilt yields have jumped on the back of the decision with the
10-year gaining more than 20 basis points to 3.8 percent
GB10YT=RR.

The spreads of three-month London interbank offered rate
over OIS rates for sterling and euros narrowed slightly while
the equivalent spread for dollars held steady.

The spread expresses the three-month premium paid over
anticipated central bank rates, or Overnight Index Swap rates
and is seen as a gauge of banks' willingness to lend to each
other -- a wider spread is seen as an indication of decreased
inclination to lend.

Below is a table of the London interbank offered rates
(Libor) for dollar, euro and sterling funds in percentage terms,
with the change from the previous session in parentheses.

EURO STERLING DOLLAR
O/N 0.26875 (+0.00375) 0.54500 (+0.00000) 0.24313 (-0.00500)
1WK 0.37250 (-0.00875) 0.55750 (-0.00125) 0.27125 (-0.00438)
2WK 0.42500 (-0.00750) 0.57625 (-0.00500) 0.28000 (-0.00375)
1MO 0.58500 (-0.00375) 0.60625 (-0.00500) 0.29250 (-0.00375)
2M0 0.78188 (-0.01437) 0.84375 (-0.01750) 0.35750 (-0.01000)
3MO 0.97875 (-0.01375) 1.04500 (-0.01750) 0.50500 (-0.00500)
6MO 1.23000 (-0.00500) 1.27000 (-0.01875) 0.96750 (-0.01813)
1YR 1.42688 (-0.00437) 1.57000 (-0.02125) 1.45625 (-0.01875)

3MTH LIBOR/OIS SPREAD (BPs)

51 (-1) 64 (-2) 32 (UNCH)
For RICs to the above rates, go to <0#LIBORSUPERRICS>.
(Reporting by Ian Chua)