European Shares Extend Gains As Inflation Concerns Ease

(RTTNews) - European stocks traded higher on Thursday, extending gains from the previous session as retreating energy costs helped ease inflation and rate hike concerns.

Investors also remained focused on France, where nationwide strikes and protests are set to take place in several cities today over the cost of living and the deterioration of public services and education.

The British pound struggled to extend gains ahead of the Bank of England rate announcement later today, with economists expecting a 25-bps hike, taking Bank Rate to 4.00 percent in what would mark its first interest-rate hike in three years.

The pan-European STOXX 600 jumped 0.7 percent to 661.87 after rallying 1.8 percent in the previous session.

The German DAX surged 0.7 percent, France's CAC 40 rallied 1.2 percent and the U.K.'s FTSE 100 was up 0.9 percent.

U.K. fashion and homewares retailer Next rose about 1 percent. The company retained its full-year profit guidance after full-price sales rose 8.1 percent in the 13 weeks to 31 October.

Drinks giant Diageo rallied 3.3 percent after posting an unexpected gain in quarterly organic sales.

Telecoms group BT Group jumped 6 percent after reporting strong first-half 2027 results.

Rheinmetall slumped 17 percent. The German defense group cut its 2026 outlook for the second time in three months, citing delays with the Boxer armored vehicle program.

Commerzbank fell 2.2 percent as the lender lowered its outlook for lending income this year.

Meal-kit maker HelloFresh surged 13 percent after third-quarter core profit beat forecasts.

Deutsche Telekom declined 1.8 percent. The telecom company reported a 7.5 percent increase in third-quarter 2026 revenue.

Air France-KLM skyrocketed 12 percent. The airline group reported stronger-than-expected third-quarter operating profit, driven by strong demand for non-stop services to India and Asia, alongside the continued expansion of its premium offering.

Utility Engie dropped 1.2 percent despite posting improved results over the first-nine months of 2026.

Bouygues advanced 4 percent after the conglomerate upgraded its full-year outlook.

Danish transport and logistics company A.P. Moller-Maersk plummeted 9 percent after third-quarter earnings fell short of analyst estimates.

ArcelorMittal, the world's second-largest steelmaker, surged 5.5 percent after quarterly core profit topped expectations.