Investing.com - European stocks opened sharply higher on Thursday, boosted by further signs of a potential U.S. rate hike as soon as next month, although investors continued to focus on developments in Paris following Friday's terrorist attacks.
During European morning trade, the EURO STOXX 50 jumped 1.10%, France’s CAC 40 gained 0.99%, while Germany’s DAX 30 rallied 1.38%.
Equity markets strengthened after the minutes of the Federal Reserve's October meeting showed on Wednesday that a majority of board members are in favor of a December rate hike.
"While no decision had been made, it may well become appropriate to initiate the normalization process at the next meeting," the minutes said.
Investors still remained cautious however as police raids on more suspected perpetrators of Friday's Paris attacks took place on Wednesday.
Financial stocks were broadly higher, as French lenders Societe Generale (PA:SOGN) and BNP Paribas (PA:BNPP) rallied 1.09% and 1.44%, while Germany's Commerzbank (DE:CBKG) and Deutsche Bank (DE:DBKGn) jumped 1.44% and 1.51%.
Among peripheral lenders, Italy's Unicredit (MI:CRDI) and Intesa Sanpaolo (MI:ISP) advanced 1.18% and 1.22% respectively, while Spanish banks Banco Santander (MC:SAN) and BBVA (MC:BBVA) climbed 0.96% and 1.07%.
Elsewhere, NN Group (AS:NN) surged 3.14% after the investment management company said that its solvency ratio improved as of September, from the end of last year, and it completed some cost-cutting measures ahead of schedule.
In London, commodity-heavy FTSE 100 climbed 0.88%, boosted by gains in the mining sector.
Shares in Rio Tinto (L:RIO) and Randgold Resources (L:RRS) rallied 2.39% and 2.87% respectively, while Bhp Billiton (L:BLT) surged 3.47% and rival company Glencore (L:GLEN) soared 5.08%.
Royal Dutch Shell (L:RDSa) Plc added to gains, with shares up 1.43% after Australia’s competition watchdog cleared the company $70 billion deal to buy BG Group (L:BG) Plc.
Financial stocks were also on the upside, as Lloyds Banking (L:LLOY) added 0.18% and Barclays (L:BARC) climbed 0.48%, while HSBC Holdings (L:HSBA) advanced 0.71% and the Royal Bank of Scotland (L:RBS) jumped 1.04%.
Meanwhile, Royal Mail (L:RMG) Plc surged 4.60% after saying it sees costs declining at its U.K. services.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.31% increase, S&P 500 futures signaled a 0.29% gain, while the Nasdaq 100 futures indicated a 0.26% rise.