European stocks recover from 3-week low, supported by ‎healthcare and energy sectors

European stocks rebounded on Thursday, supported by gains in the healthcare and energy sectors, as investors awaited a series of economic data in search of any signs of monetary easing from major central banks sooner than expected this year.

According to Reuters, the European Stoxx 600 index rose 0.5 percent by 0804 GMT, after recording the lowest level in three weeks in the previous session.

Energy sector shares topped the gains, rising 1.3 percent, followed by health care sector shares, which increased 0.8 percent.

Sentiment also improved on the back of data showing services activity in China expanded at the fastest pace in five months.

British clothing retailer Next jumped five percent to the top of the STOXX 600 index after the company raised its profit forecasts for the year to January 2024.

On the other hand, Evotec shares fell 16% after the German biotechnology company announced the “sudden” departure of its CEO, who had assumed the position for a long time.

Investors are eagerly awaiting the Eurozone Purchasing Managers’ Index readings and consumer inflation data in Germany, a day after the minutes of the Federal Reserve’s December monetary policy meeting showed that officials are convinced that inflation is under control, and that anxiety has shifted regarding the risks of monetary tightening policy on the economy

Meanwhile, new data showed that consumer prices in France rose in December, in line with expectations.