European shares were mostly steady on Thursday as investors paused after three straight days of gains. The recent rally came on rising expectations that the U.S. Federal Reserve could cut interest rates next month. Meanwhile, Puma shares jumped sharply following reports of takeover interest.
The pan-European STOXX 600 held flat at 574.01 points by 0926 GMT, keeping close to its one-week highs.
Regional markets showed a mixed picture. London’s FTSE 100 slipped 0.2%, one day after the U.K. government released its autumn budget. Germany’s DAX rose 0.3%.
Puma was the standout performer. The stock surged 14.6% after Bloomberg News reported that China’s Anta Sports Products is among the companies considering a possible takeover of the German sportswear brand.
European equities paused to consolidate recent gains. Investors took comfort in comments from several Fed officials supporting a potential rate cut next month. Weaker economic data has also reinforced expectations of easing.
Joost van Leenders, senior investment strategist at Van Lanschot Kempen, said markets are taking time to establish a new narrative after rebounding from the recent global sell-off. He added that this period likely marks a short phase of consolidation.
Healthcare stocks were the biggest drag, falling 0.4%, with major names such as Novo Nordisk and Roche posting declines.
In contrast, financial services stocks led the gains with a 0.7% rise. Deutsche Börse climbed 3.6% after J.P. Morgan upgraded the stock to “overweight” from “neutral.”
The food and beverage sector added 0.3%. Davide Campari and Pernod Ricard each gained 1.6%. Remy Cointreau rose 4.3% after its new CEO said the company expects to return to growth in the second half of its fiscal year.
Improving sentiment around developments in Russia-Ukraine peace talks also helped support markets this week. Van Leenders noted that a ceasefire is more likely than a full agreement but said even limited progress can offer relief to investors.
Despite the recent recovery, the STOXX 600 remains about 2% below its record high reached earlier this month. The index continues to struggle to regain ground lost during the latest global sell-off, which was triggered by concerns over tech valuations.
U.S. markets were closed for the Thanksgiving holiday, reducing global trading activity.
Elsewhere, London’s Unite Group fell 4.6% to a more than ten-year low after warning that earnings will be lower in 2026.
