- Dubai's Debt Woes Signal New Era for Creditors
- US Treasury Wants Banks to Do More to Ease Mortgages
- Fed Audit Would Hurt Economic Prospects: Bernanke
- Next Week: Cash In Now Or Wait For A Santa Rally?
- Dubai Stock Selloff May Bring Buying Opportunity
- Black Friday Sales Rise by 0.5%: ShopperTrak
- Longer Lines, Fuller Carts This Black Friday
- Big US Banks May Be Forced to Raise Capital: Bove
- Bank of America Amends Pay for Senior Executives
- U.S. Stocks Fall on Dubai Worries
- Black Friday at Best Buy
- Strategists on Dubai: Avoid 'Rash Moves' Now
- Longer Lines, Fuller Carts This Black Friday
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Obama's Emission Reduction Pledge Paints Future for Autos
- Is Super Bowl Halftime Act Too Old?
- Surprising Options Trades in TiVo Shares
- EA Sports Hopes to Pump Up Sales Through Pop-Up Locations
Text Size 
European shares closed higher on Wednesday, with financials and automakers the major gainers, and with more evidence of economic recovery in the United States, ahead of the Federal Reserve's statement.
The FTSEurofirst 300 index of top European shares rose 1.6 percent to a provisional close of 984.40 points, more than recouping the previous session's losses.
The benchmark index has gained more than 52 percent since hitting a record low in early March.
Banks added most to the index. Societe Generale gained 4.6 percent, boosted by solid third-quarter performance at its French retail banking division and more bid speculation.
Barclays, [BARC-LN Loading... ()] Banco Santander, BNP Paribas, HSBC [HSBA-LN Loading... ()] and UBS were up between 1.2 and 4.2 percent.
The Fed is expected to reaffirm its intention to keep U.S. interest rates at ultra-low levels for a long time to support the economy, even as signs of recovery accumulate.
Data from two sources helped boost sentiment on the U.S. economy. The U.S. service sector grew in October for the second consecutive month but at a slower pace than forecast.
U.S. companies reduced jobs in October at the slowest pace in more than a year, suggesting some stabilization in the labor market as the economy emerges from recession, a report showed.
U.S. private employers shed 203,000 jobs in October, fewer than a revised 227,000 jobs lost in September, a report by ADP Employer Services said. The September fall was originally reported at 254,000.
"Equities are in a sweet spot at the moment, said Jeremy Batstone-Carr, analyst at Charles Stanley. "Interest rates are low. Growth is apparently taking place, and investors think this is a good time to be in the riskier assets."
 |
"But they are walking a narrow tightrope. One might argue that the gains today boil down to the two words 'extended period' in relation to the Fed's' continuation of its easing of policy," Batstone-Carr said.
- These four sectors will be the next to lead the market.
- Zhu Zhu Pets are this year's must-have toy, fetching $40 or more on eBay.
- From the why-didn’t-I-think-of-that file, we present Jason Sadler, a man whose job is wearing T-shirts.
- It may be the most unusual guide to business you'll read.
- Shopping for a gadget hound? The choices can be baffling. Here are a few that should be a hit.
- "The Who" will be the halftime act for Super Bowl XLIV on Feb. 7 in Miami. Is the NFL behind the times?
Data is a real-time snapshot *Data is delayed at least 15 minutes