European Shares Reach New Heights Amid AI Rally and Healthcare Boost

European shares hit a historic high, driven by a surge in healthcare stocks and a rally in AI tech prompted by favorable forecasts from Micron and Qualcomm. Bayer's significant court victory further propelled the STOXX 600 index. Meanwhile, U.S. inflation concerns and geopolitical tensions influenced market dynamics.

European shares achieved a record high on Thursday, buoyed by a rally in healthcare stocks and tech sector optimism spurred by Micron and Qualcomm's robust forecasts.

The STOXX 600 index rose 0.8%, reaching an all-time closing high of 640.21, as Bayer's legal victory in the U.S. significantly boosted its share price, surging by 18.7%.

Though the tech rally diminished towards the session's end, overall tech gains contributed to the index's performance. U.S. inflation and geopolitical uncertainties affected investor sentiments, with expectations of potential interest rate hikes from the Federal Reserve and ECB.