LONDON (dpa-AFX) - The French market traded notably higher on Friday, after the Bank of Japan unexpectedly expanded its massive quantitative and qualitative easing as policymakers assessed it necessary to achieve the 2 percent inflation target.
In a 5-4 vote, the Policy Board led by Governor Haruhiko Kuroda decided to raise the monetary base at an annual pace of about 80 trillion yen. The earlier plan was to increase it by about 60-70 trillion yen.
Meanwhile, German retail sales declined at the fastest pace since May 2007 in September, data from Destatis showed. Retail sales were down 3.2 percent in September from August, while economists forecast a 0.9 percent drop. This was the biggest monthly fall since May 2007.
French consumer spending declined more than expected in September on weak clothing sales, data from the statistical office Insee revealed. Household consumption fell 0.8 percent month-on-month in September following a 0.9 percent rise in August. Economists had forecast a slight 0.3 percent fall for September.
The Euro Stoxx 50 index of eurozone bluechip stocks is gaining 1.65 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, is rising 1.41 percent.
The FTSE 100 index added 1.2 percent.
International Consolidated Airlines climbed 4.2 percent. The company reported increased quarterly profit and raised its full year earnings forecast.
Royal Bank of Scotland reported a profit for the third quarter compared with a loss last year. The stock rose 3.5 percent.
Friends Life Group and Standard Chartered gained 2.9 percent and 2.6 percent, respectively.
Other markets in the region also gained notably.
The Asian stocks rallied, with Japanese shares climbing sharply to a seven-year high, as additional monetary stimulus measures announced by the Bank of Japan added to optimism over the U.S. economy.
In the U.S., futures point to a higher open on Wall Street. In the previous session, stocks ended firmly in positive territory, as investors digested a strong reading on third-quarter economic growth and upbeat earnings reports from companies such as Visa and MasterCard. The Dow rallied 1.3 percent, the Nasdaq rose 0.4 percent and the S&P 500 added 0.6 percent.
Crude for December delivery is losing $0.67 to $80.45 per barrel, while gold is falling $24.7 to $1173.9 a troy ounce.
Copyright RTT News/dpa-AFX