Market Analysis

European stocks edged higher on Thursday as investors sought a dovish perspective amid expectations of a fully priced European Central Bank (ECB) interest rate cut, while also digesting a range of mixed corporate earnings.

The continent-wide STOXX 600 index rose by 0.1% at 0713 GMT, rebounding after two days of losses.

Among the notable gainers, Finnish bank Nordea surged 5.5%, bolstering the banking sector, following an upward revision of its forecast and the announcement of a new share buyback program.

The ECB is anticipated to reduce its interest rates by 25 basis points on Thursday, following a similar cut in September.

With inflation easing and the economic outlook in the region deteriorating, investors will be looking for hints to support expectations of three additional rate cuts through March 2025.

In individual stock movements, Germany's Sartorius saw a 12% increase in its shares, leading the STOXX 600, after the company released its third-quarter results and reaffirmed its full-year outlook.

Swiss company Schindler, which is significant for assessing the health of the real estate sector, experienced a 2% rise in its shares, despite reporting a decline in third-quarter sales and a decrease in global new installations.

Conversely, Nestlé, known for its Nescafe coffee brand, dropped 2.4% after falling short of sales expectations and indicating that customer demand is likely to remain weak.

Nokia's shares fell by 3% following quarterly sales that did not meet estimates.

Paraphrasing text from "Reuters" all rights reserved by the original author.