European Stocks Rise Strongly Supported by Bank and Auto Recovery

According to Trading Economics, European stocks closed with a strong increase on Thursday, bolstered by a rebound in major bank stocks and automotive manufacturers.

Both the Eurozone's STOXX 50 index and the broader STOXX 600 index rose by 0.5%.

Inditex's shares jumped by 2.6%, continuing its gains from the previous session after the group reported strong results and confirmed its full-year outlook.

Stellantis' stock increased by 3.6%, boosting its gains this week to over 10% following an upgrade from UBS.

In the automotive sector, shares of Mercedes-Benz, BMW, and Volkswagen each rose by more than 3%, supported by upgrades from Bank of America.

Santander, BNP Paribas, and BBVA shares also rose by about 2% each, leading the recovery of bank stocks.

In contrast, pharmaceutical stocks declined, with Sanofi down by 1.3% and Bayer down by 2.6%.

Despite strong unemployment claims data from the United States, bets remained firm that the Federal Reserve would lower interest rates next week, providing some support to European stocks in the afternoon session.