European stocks hit new highs

European stocks were higher on Wednesday, with the STOXX 50 up 0.6% and the STOXX 600 rising 0.4%, extending gains from the previous two sessions to reach fresh record highs.

Investor sentiment remained supported by optimism over an imminent US government reopening and rising expectations of additional Fed rate cuts, as traders continued to monitor corporate updates.

Shares of Infineon Technologies jumped 2.2% after the company forecasts its revenue will return to growth in the 2026 fiscal year.

RWE added 3.5% after reporting higher-than-expected profits for the first nine months of the year, and Bayer rose 1.7% after posting better-than-expected profit.

Meanwhile, shares of LVMH increased to €639.40, the highest since March 2025 and stocks for Intesa Sanpaolo hit all-time high of €5.91.

On the other hand, E.ON lost 1.5% although the company confirmed its outlook for 2025.