FX.co ★ European Stocks Close Sharply Higher

European stocks experienced significant gains on Thursday, driven primarily by robust performances from leading technology companies. Investors also closely analyzed the recent policy decisions made by major central banks and their implications for global interest rates. The Federal Reserve reduced its interest rates by 25 basis points, aligning with expectations, and indicated two additional rate cuts may occur this year. However, upward revisions concerning projected core inflation and economic growth have moderated expectations for further cuts in the following year. Meanwhile, the Bank of England opted to keep its interest rates steady, as anticipated, but decelerated the pace of its quantitative tightening measures to alleviate pressure on long-term credit. The technology sector saw substantial increases, with ASML jumping 7.7%, while SAP, Infineon, and Nokia all gained between 2% and 5%. Additionally, industrial sector leaders such as Schneider, Safran, and Wolters Kluwer posted advances ranging from 2% to 6%.