Europe: Stocks up on Ukraine truce

[LONDON] European stocks hit multi-year highs on Thursday, boosted by a Ukraine peace agreement, Swedish economic stimulus measures and hopes for a Greek debt deal.

The leaders of Germany, France, Russia and Ukraine agreed an accord to end fighting in eastern Ukraine, participants at the talks said on Thursday.

Germany's DAX - which includes companies that sell cars and other products to Russia - rose 1.8 per cent to approach the DAX's earlier record highs, while France's CAC rose 1.1 per cent to its best level in about seven years.

Sweden's benchmark OMXS30 equity index hit a record high after Sweden's central bank moved its key interest rate into negative territory and launched bond purchases in a process known as "quantitative easing" (QE) to bolster its economy.

The pan-European FTSEurofirst 300 index rose 0.8 per cent to its highest level in seven years and the euro zone's Euro STOXX 50 index advanced by 1.5 per cent.

The Greek stock market also rose 4.3 per cent as investors held out hope that the new Greek government could reach a deal with international creditors over the country's bailout.

REUTERS