European Equities Close Higher as Financial Stocks Rally, French Manufacturing Output Rises In Q4
European equities rebounded from Tuesday's losses to close higher on Wednesday after France posted a rise in manufacturing output in the final quarter of 2015, financial stocks rallied and traders digested comments delivered by Federal Reserve Chairwoman Janet Yellen.
Manufacturing output in France rose by 0.4% in Q4 2015 compared to Q3 2015, according to France's statistics agency INSEE.
In the UK, total production output is estimated to have decreased by 0.5% between Q3 2015 and Q4 2015, according to the Office of National Statistics ( ONS ). The ONS said that the largest contribution to the quarterly decrease came from mining and quarrying, which decreased by 2.3%, while manufacturing output remained unchanged during the same period.
In an address before the House Financial Services Committee, Federal Reserve Chairwoman Janet Yellen said that the Federal Open Market Committee "anticipates that economic conditions will evolve in a manner than will warrant only gradual increases in the federal funds rate."
In equities, Worldpay Group, a provider of payments processing technology, led gainers on the FTSE 100 Index, rising by 5.8%, followed by airline company International Consolidated Airlines Group, 4.8% higher. Packaging and paper company Mondi was up 4.7% and financial services provider Prudential closed 4.4% higher.
On the DAX, Deutsche Bank and Commerzbank closed 10.2% and 8.2% higher, respectively, while Vonovia, a real estate company, advanced by 4.9%. Deutsche Bank shares rebounded Wednesday after the Financial Times reported the bank is mulling buying back billions of euros of its debt to offset a decline in the value of its securities.
The FTSE 100 rose by 0.71%, the DAX gained 1.55% and the CAC-40 was 1.59% higher.
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