Europe open: Banks pace early gains ahead of US jobs data

Stocks on the Continent were moving higher again on Thursday, boosted by recent positive headlines around various potential Covid-19 vaccines and, ironically, the possibility of further economic stimulus in the States given the still significant risks to the outlook

Echoing the latter point of view, analysts at Rabobank said: "Indeed, one could argue that, in the absence of a vaccine, a resurgence of infections is the most bullish scenario as it replaces an uncertain recovery path with the certainty of beefed up asset purchases."

Against that backdrop, and ahead of the release of key US jobs data later in the afternoon, as of 1024 BST the benchmark Stoxx 600 was rising by 1.23% to 365.65.

The German Dax was jumping by 2.05% alongside to reach 12,511.49 while the FTSE Mibtel was adding 2.2% to 19,755.50.

Cyclicals were pacing Thursday's advance, with the Stoxx 600 sector gauge for Banks sporting the biggest gain, trading up by 3.95%, alongside a 3.1% advance for Travel&Leisure names and a 2.94% jump for Automobiles and Parts.

Linked to gains in European stocks specifically, IG's Josh Mahony chipped in saying: "The big question is whether we will see the Coronavirus cases kept low enough to allow for increased travel, with another lockdown or resumption of quarantine rules likely to deal a major blow to the travel sector if implemented."

On the economic side of things, euro area unemployment surprised to the downside, printing at 7.4% for May against April's reading of 7.3% and economists' forecasts for 7.7%.

Producer prices in the Eurozone meanwhile fell at a year-on-year clip of 5.0%, which was down from the 4.5% advance seen in April (consensus: -4.6%).