European stocks close: stocks closed higher on new Greek deadline

Stock indices closed higher on new Greek deadline. Greece has submit a formal application for a three-year loan facility from the European Stability Mechanism (ESM) on Wednesday.

"The Loan will be used to meet Greece's debt obligations and to ensure stability of the financial system," Greek Finance Minister Euclid Tsakalotos said in the letter.

He did not mention the exact amount of the financial aid.

European Council President Donald Tusk said on Tuesday that just five days left for Greece to reach a deal with its creditors to save it from bankruptcy.

European Commission President Jean-Claude Juncker said on Tuesday that authorities are prepared for all outcomes of the negotiations with Greece about its debt crisis, including a scenario of the Greek exit from the Eurozone.

European Central Bank Governing Council Member Christian Noyer said on Wednesday that Greek banks would not receive any emergency lending if the Greek government fails to reach a deal with its creditors.

The Bank of France released its business sentiment index for France on Wednesday. The index fell to 98 in June from 99 in May.

The central bank expects the French economy to expand 0.2% in the second quarter of 2015.

UK's Finance Minister George Osborne presented the annual budget today. The government plans to achieve a surplus in the 2019/20 financial year, one year later than previously predicted.

The Office for Budget Responsibility projects the U.K. economy to grow 2.4% in 2015, 2.3% in 2016, and 2.4% for the rest of the decade.

The government plans to cut corporation tax from 20% to 19% in 2017 and to 18% by 2020.

Osborne said that a new 8% surcharge on bank profits will be introduced from January next year.

Halifax released its house prices data for the U.K. on Wednesday. House prices in the U.K. increased 1.7% in June, after a 0.3% rise in May. May's figure was revised up from a 0.1% decline.

On a yearly basis, house prices climbed 9.6% in three months to June, after a 8.6% increase in three months to May. It was the fastest pace since September 2014.

"Economic growth, higher employment, increasing real earnings growth and very low mortgage rates are all supporting housing demand," Halifax's housing economist Martin Ellis said.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,490.7 +58.49 +0.91%

DAX 10,747.3 +70.52 +0.66%

CAC 40 4,639.02 +34.38 +0.75%