European equity indices closed slightly higher on Thursday, with the EuroStoxx 50 gaining 0.32% to 6,382.59 points, recovering some ground after recent losses. Outside the eurozone, Switzerland's SMI rose 0.22% to 14,394.77 points and Britain's FTSE 100 advanced 0.70% to 10,831.52 points.
Christopher Waller, a member of the Federal Reserve Board of Governors, said US price pressures showed signs of easing and signaled support for maintaining current interest-rate levels. His remarks provided some tailwind to European markets.
Despite the gains, trading remained cautious, weighed by ongoing tensions in the Middle East and Friday's release of the US jobs report. Economists at Landesbank Hessen-Thüringen (Helaba) noted that initial unemployment claims remain near historically low levels, suggesting labor-market strength. "If this is confirmed," they wrote, "Federal Reserve officials could be strengthened to raise interest rates sooner rather than later."
Media stocks were the standout performers. Publicis surged 4.4% after securing a multi-billion-euro advertising contract from PepsiCo, setting the pace for the sector.
Luxury shares, by contrast, faced headwinds. Deutsche Bank strategists cited mixed signals from China's manufacturing sector, pointing to RatingDog purchasing-manager indexes that suggested a sluggish domestic demand recovery. At the same time, the Japanese yen's appreciation raised concerns about weaker tourism spending in Japan.
LVMH, Hermes and EssilorLuxottica fell between 1.8% and 3.6%. Within the CAC 40, Kering dropped 2%, while Richemont lost 3.1% in Zurich.
Separately, analysts highlighted the growing energy demands of AI infrastructure as a potential investment theme. Hyperscalers are securing long-term power agreements for data centers requiring multiple gigawatts each — output comparable to several nuclear reactors — as grid capacity struggles to keep pace with rising demand amid geopolitical risks around Iran and the Strait of Hormus.
