Stock indices traded higher, ECB's further stimulus measures still supports. The European Central Bank (ECB) President Mario Draghi said at the press conference last Thursday that the central bank will launch an expanded asset purchase programme of 60 billion euro a month starting from March 2015 until September 2016.

Markets were also supported by the better-than-expected German Ifo business climate index. The index rose to 106.7 in January from 105.5 in December, exceeding expectations for a rise to 106.2.

Markets shrugged off concerns over Greek parliament election results. Syriza party won the country's parliament elections on Sunday. The party won 149 seats in the 300-seat parliament.

Syriza has pledged to renegotiate the terms of the country's €240 billion euro financial bailout and to reverse many of the austerity measures.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,852.4 +19.57 +0.29%

DAX 10,798.33 +148.75 +1.40%

CAC 40 4,675.13 +34.44 +0.74%