Rise of European Stocks

European stocks rose on Thursday, supported by the increase in shares of Swedish clothing retailer H&M after the company reported stronger-than-expected profits. However, comments related to tightening monetary policy from several high-ranking officials in central banks limited risk appetite. By 07:04 GMT, the Stoxx 600 index was up 0.1% following hints from several central bank officials, including U.S. Federal Reserve Chair Jerome Powell, about the need for further interest rate hikes to curb inflation. The rise of H&M propelled the European retail sector sub-index up 1.1%, while the automotive sector was the second highest performing sector. Renault’s shares rose 4.2% after the French car manufacturer raised its forecasts for the entire fiscal year.