Around the World's Markets: Milan

SHARES CLOSED higher on Bank of Italy rate cut hopes, a firm dollar and investor bargain hunting, dealers said.The Mibtel index closed 309 points higher, or 1.41 per cent, to 22,159 while the Mib30 rose 451 to 32,679.

Fiat closed 6.49 per cent higher on speculation of a reorganisation of the Agnelli family's assets including Fiat. An earlier report said that Fiat received 6,200 orders from Italian dealerships for its new Multipla model in two days.

National air carrier Alitalia fell 60 to 5,755 on profit-taking.