Europe close: Stocks keep advancing ahead of Fed meeting

European shares made strong gains on Wednesday as investors awaited a decision on interest rates by the US Federal Reserve later in the day and the European Central Bank on Thursday.

"The last six Fed meetings have seen significant volatility after the Fed decision, with sellers prevailing over the last hours of the trading session," said Chris Beauchamp, chief market analyst at IG.

"This burst of risk aversion could play itself out today, putting short-term pressure on the indices. With the ECB following on tomorrow with its own decision, we could see risk struggle in the short-term."

The pan-Regional Stoxx 600 index was up 0.36% at 464.94 in early deals, with all major bourses higher.

Spain's Ibex 35 did particularly well, tacking on 1.06% to 9,432.80.

Industrial production in the Eurozone recorded a better-than-expected rise in April, rebounding from a slump in March, official data showed on Wednesday.

Industrial production in the single-currency bloc rose 1% month-on-month in April for a 0.2% year-on-year rise as a sharp rise in the output of capital goods offset reduced production of consumer goods. March's revised figures revealed a 3.8% slump.

Capital goods output jumped 14.7% month-on-month in April after a 15.2% plunge in March, more than compensating for a 2.6% monthly fall in the production of durable consumer goods and a 3.0% fall in non-durable goods.

Production in Ireland, where the figures distort overall statistics surged 21.5%.

In the UK, official data showed the economy returned to growth in April as gross domestic product rose 0.2%, in line with expectations, following a 0.3% contraction in March.

The services sector was the main contributor, growing by 0.3% in April after shrinking by 0.5% the month before.

In equity news, shares in US-Swiss computer accessories maker Logitech plunged on Wednesday after chief executive Bracken Darrell quit with immediate effect to pursue another opportunity.

The announcement, released after the close of share trading on Tuesday, caught markets by surprise. Investors responded to the news by sending the shares 11% lower.

Darrell, who became CEO in 2013, will be replaced on an interim basis by board member Guy Getch, the company said.

Belgian discount supermarket chain Colruyt surged despite reporting lower annual earnings on Tuesday, citing inflation and substantial cost increases that it has been unable to fully pass on to customers.

Games Workshop shares gained after saying it expects to post increased annual profit of at least £170m, up from £157m a year ago, driven by a strong rise in revenue and licensing income.

Shares in specialist plastics maker Victrex slid as it warned annual profits would be sharply lower as group volumes continued to fall due to industrial headwinds.

Ladbrokes owner Entain tanked after it raised around £600m in a discounted placing to help fund the acquisition of Polish sports betting operator STS Holdings.