European Stocks Close Higher Supported by Bank Sector Gains

European stocks closed higher on Wednesday, supported by gains in the banking sector, including shares of Swiss bank UBS, which rose after the appointment of a new CEO. Strong forecasts from German company Infineon also improved investor sentiment. The Stoxx 600 index closed up 1.3 percent. UBS shares increased by 3.7 percent following the appointment of Sergio Ermotti as CEO to manage the acquisition of its smaller rival Credit Suisse. Credit Suisse's shares jumped 4.0 percent, while the financial services index and the banking sector index rose between 1.8 percent and 1.9 percent. The Stoxx 600 index was heading toward monthly losses, with expectations of a 15 percent decline in bank shares after the collapses of Silicon Valley Bank and Signature Bank, and the acquisition of Credit Suisse, raising concerns about the strength of the banking sector. The Infineon index rose by 6.9 percent after the semiconductor manufacturer raised its forecasts for the second quarter of the fiscal year and the entire year of 2023.