* Stocks rally as Ukraine peace deal announced
* Swedish stock market hits record high on rate cut, QE move
* Ct Suisse, Renault rise after results
By Sudip Kar-Gupta and Blaise Robinson
LONDON/PARIS, Feb 12 (Reuters) - European share indexes hit multi-year highs on Thursday, boosted by a Ukraine peace deal and new economic stimulus measures in Sweden.
The leaders of Germany, France, Russia and Ukraine agreed a deal to end fighting in eastern Ukraine, participants at the summit talks said on Thursday.
Germany’s DAX -- which features companies that sell cars and other products to Russia -- rose 1.6 percent to approach the DAX’s earlier record highs, while France’s CAC rose 1 percent to its highest level in around seven years.
Sweden’s benchmark OMXS30 equity index also hit a record high after Sweden’s central bank moved its key interest rate into negative territory and launched bond purchases in a process known as “quantitative easing” (QE) to bolster its economy.
“The Ukraine situation remains volatile but the medium-term outlook for European equities is positive. Investors could look to take profits in the short term, but European equities should be able to outperform U.S. equities,” said Francois Savary, chief investment strategist at Swiss bank Reyl.
The pan-European FTSEurofirst 300 index rose 0.9 percent to its highest level in seven years and the euro zone’s Euro STOXX 50 index advanced by 1.5 percent.
The Greek stock market also rose 3.8 percent as investors held out hope that the new Greek government could reach a deal with its international creditors over the country’s bailout.
A Greek official reiterated on Thursday that the country was confident of reaching a deal with European partners, after late-night talks in Brussels ended without agreement.
Credit Suisse shares rose 9 percent after the bank outlined measures to deal with the strong Swiss franc and posted fourth-quarter net profit ahead of analysts’ estimates.
Shares in Renault also soared 9 percent after the French carmaker posted a jump in profits.
Bucking the trend, shares in Zurich Insurance slipped after it kept its dividend unchanged, falling short of some expectations for a rise.
European corporate results have been mostly positive so far, with 62 percent of companies meeting or beating earnings forecasts with their results, according to Thomson Reuters StarMine data.
“Earnings are pretty good overall, with a couple of very nice surprises such as Renault,” said Saxo Bank trader Andrea Tueni.
Europe bourses in 2015: link.reuters.com/pap87v
Asset performance in 2015: link.reuters.com/gap87v
Today’s European research round-up (Editing by Andrew Heavens)