European shares rise as Nvidia's outlook eases AI slowdown fears

European shares climbed on Thursday, as Nvidia's strong results quelled worries over weakening AI demand, although uncertainty over the U.S. chipmaker's China business clouded the outlook.

The pan-European STOXX 600 was up 0.3% at 556.53, as of 0704 GMT.

Semiconductor stocks in the region were mixed as investors parsed Nvidia's data center outlook, which fell short of some analysts' expectations. Shares of ASML and BESI edged lower, while Infineon and ASM International rose nearly 1% each.


The outlook, while still huge in absolute dollar terms and slightly above analyst estimates, disappointed investors accustomed to blowout results.

European earnings were largely positive.

Shares of Delivery Hero rose 3.8% after the German online takeaway food company reported slightly better-than-expected revenue growth for the second quarter.

Pernod Ricard firmed 4% after the spirits maker reported fourth-quarter results. Shares of peer Remy Cointreau climbed nearly 2%.

France's benchmark CAC 40 index advanced 0.7%, recovering some ground after a 2.8% drop earlier in the week, as political uncertainty loomed over the potential collapse of the country's minority government in a confidence vote.