European stocks rebounded on Thursday, following a brief halt in their earlier winning streak.
Investor sentiment was bolstered by expectations of a significant U.S. interest rate cut later this year and optimism about new economic stimulus measures from China.
In other developments, the Swiss National Bank reduced its key policy rate by 25 basis points for the third consecutive meeting and indicated that additional cuts may be necessary in the coming quarters to ensure medium-term price stability.
Economic data showed a moderate recovery in German consumer confidence in October, according to a survey conducted by GfK and the Nuremberg Institute for Market Decisions. The forward-looking consumer sentiment index improved to -21.2, up from -21.9 in September, defying forecasts that anticipated a fall to -22.4.
Conversely, the latest British Retail Consortium (BRC) Consumer Sentiment Monitor indicated a decline in U.K. consumer confidence in September, driven by concerns over the economy and personal finances.
The pan-European STOXX 600 gained 1.1 percent, reaching 524.63, after a slight 0.1 percent dip on Wednesday. The German DAX rose 1.2 percent, France's CAC 40 increased by 1.4 percent, and the U.K.'s FTSE 100 edged up by 0.3 percent.
In individual stock movements, Hennes & Mauritz AB saw a 3.4 percent decline in Stockholm following weak profit and sales reports for its third quarter.
Meanwhile, miners such as Anglo American, Antofagasta, and Glencore surged 4-5 percent in London, buoyed by China's politburo pledging strong policy support to achieve this year's economic growth target of approximately 5 percent.
China-linked luxury brands LVMH, Hermes International, and Kering experienced significant gains of 6-7 percent in Paris.
Energy stocks faced pressure, with BP plc dropping 4.1 percent and Shell declining 3.5 percent, as oil prices continued their downward trend following news that Saudi Arabia plans to increase output in December.
German chemicals giant BASF saw a 3 percent decrease after announcing a dividend reduction.
Sportswear manufacturer PUMA rose 3.4 percent after appointing Markus Neubrand, age 48, as its new Chief Financial Officer and Board member.
Commerzbank soared 5.6 percent. The bank, a takeover target for Italian lender UniCredit SpA, reaffirmed its strategy and projected higher net profit and return on equity by 2027.
SMA Solar Technology AG shares increased by 4.3 percent as the solar energy equipment supplier announced a company-wide restructuring and transformation program to boost efficiency and focus.
Evotec jumped 5.2 percent following its entrance into a technology development partnership with Novo Nordisk.
