European markets closed higher Wednesday after the U.S. Federal Reserve's surprise rate cut stirred hopes other major central banks could follow suit.

The pan-European Stoxx 600 provisionally closed over 1% higher at 385.74. Utilities stocks led the gains, jumping over 3%, while travel and leisure shares bucked the trend to fall 2%.

Global market participants continued to digest the Fed announcing an emergency 50 basis point cut to interest rates on Tuesday. The rate cut was seen as a reaction to the global coronavirus outbreak but also increasing market anxiety over its spread.

Source : CNBC