European shares rise on Fed boost

File picture: Lee Jae-Won

File picture: Lee Jae-Won

Published Jun 19, 2014

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Edinburgh - European shares rose in early deals on Thursday, boosted after the Federal Reserve said the US economy was making progress and committed to retaining accommodative monetary policy over the long term.

Top blue-chip gainer in Europe was Rolls Royce, with the engine maker up 6.1 percent after it announced a one-billion-pound share buyback.

It was the top riser on the pan-European FTSEurofirst 300, which rose 0.7 percent by 07h07 GMT, tracking gains overnight on Wall Street and in Asia that saw the S&P 500 hit a new record high.

The gains were made after the Fed hinted at a slightly faster pace of interest-rate increases starting next year but suggested rates in the long run would be lower than it had indicated previously.

The rise left the FTSEurofirst 300 just 0.1 percent off of its 2014 high set earlier this month, which was the index's highest level since January 2008. - Reuters

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