European stocks rallied at the open on Thursday after the US Federal Reserve raised interest rates but ruled out more aggressive moves in the future.
The pan-European STOXX 600 index rose 1.27%, with investor sentiment also helped by another dump of corporate earnings and updates.
In the US, Wall Street closed higher after the Fed raised interest rates by a 50 basis points, but the central bank’s Chairman Jerome Powell scotched suggestions of a 75 basis point hike in a coming meeting.
Investors were now eyeing the Bank of England for a similar move later in the day as Britons struggled with soaring prices.
In equity news, Airbus shares rose after the aircraft maker reported higher-than-expected first-quarter profit and firmed up record plans for a 50% hike in narrowbody jet output.
Oil giant Shell gained after reporting a record first-quarter profit of $9.13bn, boosted by higher oil and gas prices which have been inflated due to the Ukraine war. The company also pledged more returns to shareholders.
BMW was higher as it posted a rise in quarterly profit, lifted by a reevaluation of its Chinese joint venture stake and strong pricing.
Shares in Hikma Pharmaceuticals fell as the company cut annual sales and margin forecasts for its second-biggest unit, due to possible delays in the launch of a generic version of a sleep disorder treatment.
