European stocks close: stocks closed higher on comments by the European Central Bank executive board member Benoît Coeuré

Stock indices closed higher on comments by the European Central Bank executive board member Benoît Coeuré. He said the central bank will start buying private-sector debt instruments in coming days. Coeuré also said that it is too early to say Germany could fall into recession.

Coeuré pointed out that the ECB monitors its asset purchases, and there is "no target" for the exchange rate of the euro.

The European Central Bank Vice President Vitor Constancio warned that falling inflation expectations would be "extremely harmful".

Eurostat revised the economic growth figures. Eurozone's gross domestic product (GDP) grew 1.5% in the second quarter, exceeding expectations for a flat reading of 0.0%. The previous reading was 0.0%.

On a yearly basis, Eurozone's gross domestic product (GDP) fell 0.3% in the second quarter, missing expectations for a 0.7% rise. The previous reading was a 0.7% gain.

Rolls-Royce Holdings Plc shares dropped 11% after profit warning. The impact of Russian sanctions weighed on the company.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,310.29 +114.38 +1.85%

DAX 8,850.27 +267.37 +3.12%

CAC 40 4,033.18 +114.56 +2.92%