European shares closed higher today with banks and commodities taking the lead, but gains were capped as investors fretted about the implications of a U.S. plan to pump $1 trillion into the economy, according to Reuters. The pan-European FTSEurofirst 300 index of top shares provisionally closed up 0.6 percent at 715.17 points, well away from the day's high of 730.22 points. "The initial euphoria surrounding the bond purchase scheme does appear to have worn off a bit. The U.S. is lower which is dragging Europe down," said Peter Dixon, strategist at Commerzbank. "My view has been why in the short term would a scheme that basically supports the bond market be supportive for equities. If you are looking for capital gains in the short term you are probably better off holding fixed income rather than equities," he said. Financials were the major gainers. Barclays gained 17.2 percent, while HSBC, Standard Chartered, UBS, UniCredit and Credit Suisse were 2.6-6.8 percent higher.
