Swedish stocks rise as Europe waits for Fed Well-recieved earnings news helped Swedish stocks to the top of a steady FTSE Eurofirst 300 on Wednesday, as European traders waited for news from the US Federal Reserve. Hennes & Mauritz , made strong gains after the fast fashion retailer reported better than expected quarterly profits, which were up by 23 per cent. It also said it had "more or less neutralised" the impact of higher cotton prices. Its shares rose 3.4 per cent to SKr238.10. Fellow Stockholm stock Electrolux , the home appliance group, was the best performer on the pan-European index, climbing 3.9 per cent to SKr134.90. Overall, the FTSE Eurofirst 300 rose 0.1 per cent to 1,008.5, as expectations of an extension of the US Federal Reserve's existing stimulus programme underpinned sentiment. Traders were waiting for cues from Fed chairman Ben Bernanke that the government will extend the maturity of bonds held under the terms of its stimulus programme by selling short-dated debt and buying longer-term paper. The tactic is known as "Operation Twist." "Let's twist again," said BNY Mellon's global research team in a note to clients, while strategists at Deutsche Bank speculated an extension of the current program was possible, but a new quantitative easing program was unlikely. In a morning note Deutsche Bank wrote: "Tonight the phrase book will again need to be employed as we translate every last word in the lexicon of Ben Bernanke speak at his press conference." With all eyes on Washington, Europe's national indices were lower after making some of their biggest gains in more than a week over the previous session as the US central bank's two-day policy meeting began. In Germany, gains made by HeidelbergCement helped to lift the Xetra Dax index by 0.1 per cent to 6,369.29. Shares in the cement group rose 2.6 per cent to €36.80. Shares in Bankia, Spain's part-nationalised and troubled bank, rallied 4.5 per cent to €0.84. The wider Ibex 35 index rose 0.6 per cent to 6,730.2, as investors digested reports that eurozone leaders were discussing ways to stem Spain and other periphery countries" bond yields from soaring. The CAC 40 index fell 0.4 per cent to 3,104.91, led by retailers and food groups. Shares in L'Oréal slid 2.4 per cent to €89.20, while LVMH fell 1.7 per cent to €119.45. Danone , which was the worst performing stock across the FTSE Eurofirst 300 on Tuesday, fell another 1.6 per cent to €47.93. The food group issued a surprise profit warning, blaming "swift deterioration" in consumption in Spain and other southern European countries. In Milan, the FTSE MIB rose 1.1 per cent to 13,590.92. Luxottica was the only company on the index to trade in negative territory. Shares in the eyewear maker fell 0.4 per cent to €27.24. Meanwhile in Greece, the benchmark Athens General index climbed 1.6 per cent to 609.57. Newly elected leaders agreed on Wednesday to form a three-party coalition government.