* Euro money rates firm ahead of historic ECB move
* Analysts expect more ECB hikes to curb inflation
* BOJ leave rates near zero, BOE seen on hold
* Upbeat job data knock Aussie rates futures lower
By Richard Leong
HONG KONG, April 7 (Reuters) - European money market rates edged higher on Thursday as traders braced for a historic rate hike from European Central Bank and awaited any signals on whether it might be on an aggressive tightening campaign to cool rising price pressures.
ECB's widely expectedly quarter-point rate hike from 1 percent would its first such move since July 2008. In sharp contrast, the Bank of Japan left policy rates near zero earlier in the day as it looked to help its economy after last month's devastating earthquake and tsunami.
The ECB has signaled its intention to contain upside price pressures, as high oil and food prices forced up regional inflation in March at a rate of 2.6 percent, the highest since late 2008.
But ECB policymakers will likely not be aggressive in raising rates since Spain, Portugal and other peripheral countries continued to struggle with their finances, analysts said.
This outlook "implies a high probability of a further rate rise in June or July - and more to follow," BNP Paribas economist Ken Wattret wrote in a note late Wednesday.
Wattret said ECB's target for its refinancing rate will likely rise to 2.5 percent by mid-2012 and 3.5 percent in 2013.
The Bank of England, which also holds a policy meeting on Thursday, is expected to leave its key rate at 0.50 percent, as concerns over domestic growth have trumped for now worries over an uncomfortably high 5 percent inflation rate, analysts said.
Short-term European rates have been rising in recent weeks on growing expectations that the ECB will increase rates, with benchmark interbank rates hitting their highest in 21 months this week .
On Thursday, the overnight indexed swap rate on three-month euros , which gauges investor expectations of ECB policy rate, was last quoted at 1.0250 percent, compared with 1.0230 percent on Wednesday.
The two-year rate on euro interest rate swaps , a barometer of private borrowing costs, touched 2.4090 percent on Thursday, its highest since January 2009.
