European Stocks Rebound as ECB Rate Hike Looms Amid Oil Price Pressure

European stock markets rebounded on Thursday, showing a modest increase following a sharp decline the previous day. The pan-European STOXX 600 index rose by 0.1% to 641.23 points early in the session.

Germany's DAX remained steady, while London's FTSE increased by 0.1%, and France's CAC 40 saw a gain of 0.3%. The rebound came after European stocks suffered a 1.4% decline due to Brent crude prices surpassing $100 per barrel for the first time since July.

Brent crude prices remained above $100 on Thursday amid escalating tensions between Iran and the U.S. over maritime activities, reaching a new peak in the ongoing conflict. The anticipated ECB's decision of a 25-basis-point interest rate hike is seen as the start of a challenging period for global central banks.

Primark's parent company, Associated British Foods, reported a 3% decline in fourth-quarter sales, leading to an 8.6% drop in its share price.