Europe close: Stocks rise as Brexit finally gets under way

Shares on the Continent were mostly higher on Wednesday even as Britain fired the starting gun on formal divorce proceedings with the European Union.

By the closing bell the benchmark Stoxx Europe 600 index was up 0.33% to 378.53, Germany’s DAX rose 0.44% to 12,203.00 and France’s CAC had advanced 0.45% to trade at 5,069.04.

Out on the euro area's periphery on the other hand, the FTSE Mibtel was down 0.26% at 20,276,80 and Spain's Ibex closed 0.21% lower to 10,367.60.

In currency markets, the euro was down 0.53% versus the dollar to 1.0755 and 0.2% weaker against the pound at 0.8665.

Meanwhile, Brent crude was ahead by 1.81% to $52.28 per barrel and West Texas Intermediate rose 2% to $49.38.

Britain formally fired the starting gun on Brexit as European Council President Donald Tusk confirmed he had received formal notice of the UK's intention to leave the European Union.

Tusk received a letter, which invokes Article 50 of the Lisbon Treaty, on behalf of UK Prime Minister Theresa May from Britain's EU representative Sir Tim Barrow. The two parties now have a mere two years to sweep aside four decades of at times fractious partnership and create an entirely new social and economic relationship.

"We regret that the United Kingdom will leave the European Union, but we are ready for the process that we now will have to follow. For the European Union, the first step will now be the adoption of guidelines for the negotiations by the European Council," the council said in its official statement in response.

"In these negotiations the Union will act as one and preserve its interests. Our first priority will be to minimise the uncertainty caused by the decision of the United Kingdom for our citizens, businesses and Member States. Therefore, we will start by focusing on all key arrangements for an orderly withdrawal."

On the data front, French consumer confidence was stable in March with INSEE's index unchanged at 100.0 as expected. However, a sub-index tracking whether it was a good time to make big purchases fell by six points to a reading of -7.0, an eight-month low.

In corporate news, BHP Billiton was up 2.69% after its iron ore chief Edgar Basto warned that the supply of low-cost seaborne iron ore is expected to grow faster than demand, but assured that company is well-positioned to continue to grow value and shareholder returns.

Holiday tour operator TUI slipped 1.06% after it said winter 2016/17 and summer 2017 were trading in line with expectations and reiterated its guidance of at least 10% growth in group underlying EBITA in 2016/17.

Akzo Nobel fell 0.89% after Dutch daily FD reported that US activist hedge fund Elliott Advisors had garnered the support of 25% of the chemical company's shareholders to engage in takeover talks with US rival PPG Industries.