European Shares Rise On Rate Cut Hopes

(RTTNews) - European stocks traded slightly higher on Thursday as a survey showed Eurozone manufacturing PMI fell from 45.8 to an 8-month low of 45.6 in August, reinforcing investor bets on a September ECB rate cut.

Overall business activity showed surprising strength in August as a strong rebound in the bloc's dominant services industry offset a deeper downturn among manufacturers.

Elsewhere, Britain's private sector companies reported their strongest growth in four months alongside cooling price pressures.

Consumer confidence data for the eurozone as well as U.S. PMI and initial jobless claims figures are awaited later in the day as attention shifts to Fed Chair Powell's Friday speech at the Jackson Hole Symposium.

The dollar ticked higher in early European trade, recovering from its lowest level since Dec 23 following the release of dovish minutes from the Federal Reserve meeting and a downward revision to U.S. payrolls data.

The pan European STOXX 600 climbed 0.6 percent to 517.18 after gaining 0.3 percent on Wednesday.

The German DAX rose half a percent, France's CAC 40 added 0.6 percent and the U.K.'s FTSE 100 was up 0.3 percent.

In corporate news, Swiss Re surged nearly 4 percent after the reinsurer reported higher profit in its first half and reiterated guidance for the full year.

Aegon NV lost 5 percent after the Dutch insurer reported a drop in its key operating profit and cash generation metrics.

JD Sports Fashion surged 6.2 percent. The British sportswear retailer reported an improvement in second-quarter underlying sales, driven by surging revenues in the U.S. and Europe.

Energy giants BP Plc and Shell both dropped around half a percent as oil extended losses for a fifth straight session on demand concerns.

Bank of Georgia gained nearly 1 percent after it unveiled a £21m share buyback program.

Recruiter Hays rallied 2.3 percent despite full-year pre-tax profit plunging 91 percent as a result of "increasingly challenging" market conditions.

German ticketing group CTS Eventim soared 6.7 percent after upgrading its full-year earnings outlook.

Lender Deutsche Bank rallied 3.2 percent after settling with over 80 plaintiffs in the Postbank AG litigation.