European stocks boosted by Fed, Deutsche Bank; DAX up 0.55%

Investing.com – European stock markets were broadly higher on Thursday, after the Federal Reserve reiterated its commitment to supporting the U.S. economic recovery and as shares in Deutsche Bank surged after reporting first quarter results. 

During European morning trade, the EURO STOXX 50 jumped 0.75%, France’s CAC 40 rose 0.65%, while Germany's DAX 30 gained 0.55%.

In his first ever post-policy meeting press conference on Wednesday, Bernanke said that the central bank, which left interest rates unchanged, "will complete" its USD600 billion bond-buying program by the end of June and hold short-term rates at a record low for an "extended period."

Meanwhile, Germany’s largest lender, Deutsche Bank saw shares rally 4.5% after it reported a 17% increase in first quarter profit, as a string of acquisitions helped boost growth. The group said profit climbed to EUR2.06 billion, beating expectations of EUR1.76 billion.

Spain’s biggest bank Banco Santander gained 1.55% after it said first quarter net interest income rose 5.5% to EUR7.51 billion, surpassing estimates of EUR7.37 billion.

The strong results lifted other shares across the sector, with Societe Generale climbing 2.05% and Credit Agricole rising 1.7%.   

French waste and water utility company Suez Environnement saw shares surge 4.9% after it said first quarter profit rose 29%, as the economic recovery boosted demand for waste collection.  

In London, the FTSE 100 edged 0.1% higher as metal producers led gains after commodity prices spiked on the back of a broadly weaker U.S. dollar. Copper producer Xstrata jumped 1.35%, African Barrick Gold rose 1.45%, while silver producer Fresnillo added 1.5%. 

On the downside, consumer good retailer Unilever saw shares drop 2.7% after it reported first quarter revenue that missed estimates and said profitability will drop in the first half as increased commodity costs hit earnings more than it had earlier expected. 

The outlook for U.S. equity markets, meanwhile, was mixed ahead of earnings reports from oil and gas giant Exxon-Mobil and consumer goods manufacturer Proctor & Gamble. Microsoft was due also due to release earnings later in the day.  

The Dow Jones Industrial Average futures pointed to a gain of 0.1%, S&P 500 futures indicated a rise of 0.04%, while the Nasdaq 100 futures shed 0.03%.

Later in the day, the U.S. was to publish advance data on first quarter gross domestic product, as well as official data on initial jobless claims.