European Stocks Rise As Fed Decides Against Rate Hike

LONDON, (UrduPoint / Pakistan Point News - 22nd Sep, 2016 ) - European stock markets advanced at the open on Thursday after the US Federal Reserve opted against lifting interest rates overnight. In initial trade, London's benchmark FTSE 100 index added 0.6 percent to stand at 6,875.15 points compared with the close on Wednesday.

In the eurozone, Frankfurt's DAX 30 added 0.7 percent to 10,518.53 points and the Paris CAC gained 0.8 percent to 4,444.50. The Fed kept its benchmark interest rate unchanged for the sixth straight meeting, saying it needs to see a bit more sign of strength in the US economy.

However, Fed Chair Janet Yellen said the economy continues to broadly show progress. Officials indicated they foresee one rate hike before the end of the year. "Despite there being enough to suggest a rate hike in November or, even more likely, December, the markets were buoyed by the simple fact that the Federal Reserve opted for inaction," said Spreadex analyst Conor Campbell.