European stocks opened higher Thursday morning after U.S. Federal Reserve Chairman Jerome Powell signaled that the central bank could cut interest rates imminently.

The pan-European Stoxx 600 climbed 0.2% at 388.15 after the opening bell, oil and gas leading gains with a 0.9% rise while construction and material stocks fell 0.2%.

Powell told the House Financial Services Committee in a prepared testimony on Wednesday that the central bank will “act as appropriate” to sustain expansion as “crosscurrents” are weighing on the economic outlook.

Source : CNBC