Europe Shares Set to Rise After Wall Street Rally

European shares are expected to rally on Wednesday, after the Federal Reserve and other major central banks teamed up to pump extra cash into the frozen credit markets.

London-based spreadbetters expect Britain's FTSE 100 to open 70 to 77 points higher, or as much as 1.4 percent, Germany's DAX to open 90 to 108 points up, or as much as 1.7 percent, and France's CAC-40 to open 73 to 84 points up, or as much as 1.8 percent.

Major U.S. indexes rose by 3.6 to 4.1 percent on Tuesday, while Europe's FTSEurofirst 300 registered a 1.2 percent gain.

"The Fed's intervention in the credit markets when it was first mooted was greeted with a fair amount of skepticism of being just another 'panic-move' by the Fed," said Matthew Buckland, a trader at CMC Markets.

"When the details came out yesterday it really lifted sentiment ... The U.S. futures are selling off slightly so we may see a fall on the Dow later in the day, a sort of steadying of the ship, but that will cause the European markets to make these opening rises."