European stocks close: stocks traded higher supported by the Fed’s interest rate decision

Stock indices traded higher supported by the Fed's interest rate decision. The Fed cut its monthly asset purchases by another $10 billion to $35 billion and kept the Federal Funds Target Rate between zero and 0.25 percent. Market participants had expected this decision. The Fed pointed out that interest rates will remain unchanged for a considerable time after the Fed's asset purchase program ends.

The U.K. retail sales dropped 0.5% in May, in line with forecasts, after a 1.3% gain in April. That was the first drop since January.

On a yearly basis, retail sales in the U.K. climbed 3.9% in May, missing expectations for a 4.2% increase, after a 6.9% gain in April.

The Confederation of British Industry released its industrial order books balance. The CBI industrial order books balance increased to 11% in June from 0% in May, exceeding expectations for a climb to 3%.

Rolls-Royce Holdings Plc surged 8.1% after announcing a 1 billion pounds share buyback.

Peugeot SA increased 5.2%.

Electricite de France SA dropped 7.6% after the French energy minister said the government will cancel a 5% rise to electricity prices.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,808.11 +29.55 +0.44%

DAX 10,004.00 +73.67 +0.74%

CAC 40 4,563.04 +32.67 +0.72%