European stocks advanced, climbing 20 percent from the September low and entering a bull market, after the U.S. Federal Reserve signaled it may keep interest rates low through 2014 and a report said Greece’s creditors will make a new offer for a debt-swap deal.

U.S. policy makers are “prepared to provide further monetary accommodation if employment is not making sufficient progress towards our assessment of its maximum level, or if inflation shows signs of moving further below its mandate- consistent rate,” Bernanke said yesterday after European markets closed. Bond buying is “an option that’s certainly on the table,” he added. The Fed also extended its pledge to keep interest rates low through at least late 2014.

Orders for U.S durable goods rose 3 percent in December, exceeding the 2 percent growth estimate in a Bloomberg News survey of economists. Orders advanced for a third month boosted by demand for aircraft, autos and business equipment.

In Greece, private creditors will submit a new offer with an average interest rate of 3.75 percent on bonds issued as part of a debt restructure, Kathimerini reported, without saying where it got the information.

FTSE 100 5,795 +72.20 +1.26%, CAC 40 3,363 +50.75 +1.53%, DAX 6,540 +118.00 +1.84%

BHP Billiton, the world’s largest mining company, advanced 3.3 percent to 2,199.5 pence. Rio Tinto Group, the third biggest, rose 4.9 percent to 3,893 pence. Anglo American Plc, the third-largest copper producer, climbed 3.1 percent to 2,737 pence after saying iron-ore output increased 5 percent in the fourth quarter, while copper volumes jumped 10 percent.

European steelmakers rallied. ThyssenKrupp AG gained 4.5 percent to 22.14 euros. ArcelorMittal added 3.8 percent to 16.72 euros. Salzgitter AG advanced 6.8 percent to 48.67 euros.

Nokia climbed 2.7 percent to 4.17 euros after selling more smartphones last quarter than projected. Nokia sold 19.6 million smartphones that can handle tasks such as video calls and showing movies, the Espoo, Finland-based company said today. Analysts had predicted sales of 18.5 million smartphones.