Europe open: Stocks edge higher in quiet trade as basic resources advance

European stocks edged higher at the start of what is likely to be a fairly quiet day’s trade, with Wall Street closed for the Thanksgiving holiday, as basic resources lent support.

At 0900 GMT, the benchmark Stoxx Europe 600 index was up 0.6%, Germany’s DAX was 0.7% higher and France’s CAC 40 was up 0.3%.

The Stoxx 600 basic resources index rallied 1.7% as base metals recovered.

“With the US on holiday and a rate hike priced in to the market for next month, attention lies squarely on the eurozone as investors debate how effective the next round of anticipated monetary easing will be,” said Mike McCudden, head of derivatives at Interactive Investor.

“The miners are back in play in early trade but we will have to wait and see if there is momentum here or it’s another dead cat. All in all, it looks set to be a fairly lacklustre day on the markets.”

On the corporate front, German semiconductor manufacturer Infineon Technologies rallied after it said net profit in the quarter ended September rose 80%.

Daily Mail & General Trust bounced back from heavy falls in the previous session on the back of gloomy guidance. The stock was helped along by a rating upgrade from Societe Generale and news that it will net £29m from the sale of its online discount business, Wowcher.

Severn Trent was also on the front foot after the water utility posted a 2.6% rise in first half profit.

Supermarket chain Tesco was higher after saying it has paid $12m to settle one of two class action lawsuits brought by disgruntled US investors who sued over the overstatement of the grocer's 2014 first-half profits.

On the downside, Remy Cointreau slumped after the French spirits company reported a 7% drop in first half like-for-like operating profit.

BHP Billiton was under pressure after the United Nations’ human rights agency said mud from a dam that burst at an iron ore mine owned by the company in Brazil is toxic.