The pan-European Stoxx 600 climbed 0.2% early in the session, oil and gas leading gains with a 1.1% rise while construction and material stocks fell 0.3%.

· Asian stocks gained and the dollar drooped on Thursday after Federal Reserve Chair Jerome Powell reinforced prospects of a U.S. interest rate cut later this month.

In an appearance before his congressional overseers on Wednesday, Powell confirmed that the U.S. economy is still under threat from disappointing factory activity, tame inflation and a simmering trade war.

Powell said the central bank stands ready to “act as appropriate”.

MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.8%, while Japan’s Nikkei added 0.4%.

“The markets had hoped for Powell to express dovish views and they got what they wanted,” said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui DS Asset Management.

“The focus going forward is U.S. data, such as tonight’s CPI, and whether the economy warrants a 50 basis point rate cut this month.”

· Japan’s Nikkei rose on Thursday after the Federal Reserve chief cemented expectations of a U.S. rate cut later this month, while Japan Post Insurance put the sector under pressure as it dived after admitting mismanagement in handling insurance policies.

The Nikkei share average ended 0.5% higher at 21,643.53.

The insurance sector underperformed the market, after Japan Post Insurance Co plunged 6.4% to hit a record low after the company on Wednesday admitted mismanagement in connection with more than90,000 insurance policies.

· China stocks ticked up on Thursday as global central banks look poised to ease policies, while concerns about a slowdown in the country's economic growth weighed on investor sentiment.

At the close, the Shanghai Composite index was up 0.1% at 2,917.76. The blue-chip CSI300 index was flat.

CSI300's financial sector sub-index was higher by 0.1%, the consumer staples sector fell 0.2%, while the healthcare sub-index eased 0.3%.

Reference: CNBC, Reuters