Investing.com - European stocks were higher on Thursday, as expectations for an early rate hike by the Federal Reserve eased and markets eyed the Bank of England's upcoming policy statement.
During European morning trade, the DJ Euro Stoxx 50 gained 0.89%, France’s CAC 40 advanced 0.90%, while Germany’s DAX jumped 1.25%.
Global equities strengthened after the minutes of the Fed's September 16-17 policy meeting released on Wednesday showed that a number of officials believe the bank's current language painted the wrong picture on the timing of rate hikes and that an interest rate rise should be tied to U.S. economic progress.
The report also showed that the U.S. central bank cut its growth outlook due to the higher dollar and concerns over global weakness.
European markets had weakened on Tuesday after a report showing a steep decline in German factory orders in August fuelled fears that the euro zone’s largest economy is falling into a recession.
Financial stocks were broadly higher, as French lenders BNP Paribas (PARIS:BNPP) and Societe Generale (PARIS:SOGN) gained 0.71% and 0.99%, while Germany's Deutsche Bank (XETRA:DBKGn) added 0.10%.
Among peripheral lenders, Italy's Intesa Sanpaolo (MILAN:ISP) and Unicredit (MILAN:CRDI) climbed 0.44% and 0.50% respectively, while Spanish banks BBVA (MADRID:BBVA) and Banco Santander (MADRID:SAN) advanced 0.56% and 0.81%.
Elsewhere, Norwegian aluminum producer Norsk Hydro (OSLO:NHY) surged 2.98% after U.S. rival Alcoa (NYSE:AA) reported its highest earnings in three years.
Solvay (BRU:SOLB) rallied 1.99% after the Belgian chemical company confirmed its profit-growth target for 2014.
In London, commodity-heavy FTSE 100 advanced 0.76%, led by gains in the mining sector.
Shares in Glencore Xstrata (LONDON:GLEN) jumped 1.37% and Antofagasta (LONDON:ANTO) surged 3.52%, while rivals Fresnillo (LONDON:FRES) and Randgold Resources (LONDON:RRS) saw shares soar 6.01% and 7.19% respectively.
Financial stocks were also broadly higher, as HSBC Holdings (LONDON:HSBA) inched up 0.05% and Lloyds Banking (LONDON:LLOY) gained 0.57%, while Barclays (LONDON:BARC) and the Royal Bank of Scotland (LONDON:RBS) advanced 0.60% and 0.63%.
Meanwhile, Hays (LONDON:HAYS) soared 6.01% after the British professional-recruitment agency reported a 4% climb in net fees for the first quarter, led by the U.K. and Ireland.
In the U.S., equity markets pointed to a steady to higher open. The Dow 30 futures pointed to a 0.01% dip, S&P 500 futures signaled a 0.04% gain, while the NASDAQ 100 futures indicated a 0.15% rise.