A strong overnight rebound in US stocks helped lend support for European and Asian markets on Thursday, despite an initial sell off on Wednesday following US inflation data.
Spread betting companies expected European markets to open higher, with the FTSE 100 in London seen putting on around 20 points in opening exchanges.
Europe and Asian gains
European stocks opened higher, with the EuroStoxx 50 index of pan-European shares up 0.67% to 3,401. London's FTSE 100 added 0.43% at the open to 7,243, while Frankfurt's Xetra Dax climbed 0.64% to 12,416 and the CAC 40 in Paris rose 1.07% to 5,221.
Asian stock indices were all higher: Tokyo's Nikkei 225 rose 1.4% to 21,450.5, Sydney's S&P/ASX 200 added 1.16% to 5,909, and Hong Kong's Hang Seng climbed 1.75% to 31,050.
Overnight on Wall Street, the Dow Jones Industrial Average climbed 1.03%, the S&P 500 added 1.34% and the Nasdaq 1.86%.
Wednesday's robust performance from US stocks, despite the stronger than expected inflation print, suggested many investors were now more confident the economy and equity markets can withstand further monetary policy normalisation.
Oliver Jones at Capital Economics said: "There is not a mechanical link between increases in interest rate expectations and falls in the stock market.