Europe open: Stocks rise as German business confidence improves
European stocks advanced as a report showed German business confidence grew and the Swiss bank introduced a negative deposit rate.
German business confidence rose in line with expectations. IFO’s index increased to 105.5 in December from 104.7 a month earlier.
Elsewhere in the euro-area, Prime Minister Antonis Samaras was unable to gain enough support for his nominee in a parliamentary vote for a new head of state. Greece is now closer to early elections, opening the door for the ascent of the anti-austerity party.
In the UK, a report at 09:30 London time is forecast to show retail sales rose 4.5% in November after a 4.6% increase in October.
Stateside, analysts predict initial jobless claims increased by 1,000 to 295,000 in the week to 13 December.
The Federal Reserve decided to keep interest rates unchanged, as expected, but altered its tone on a potential increase by saying that it would be “patient” in deciding what to do next.
The central bank had previously said it would keep interest rates low for a "considerable time".
Company-wise Switzerland’s Novartis AG and Roche Holding AG advanced after the nation’s central bank introduced a negative deposit rate.
The Swiss National Bank said that it took the action “with the aim of taking the three-month Libor into negative territory, expanding its target range for to its usual width of one percentage point at -0.75% to 0.25%”.
The euro fell 0.4% to $1.2337.
Brent crude rose 0.2% to $61.32 per barrel, according to the ICE.