Europe close: Shares track oil price higher

The benchmark DJ Stoxx 600 index finished the day up by 0.27% at 343.99, alongside gains of 0.67% for Germany’s DAX and a rise of 0.47% in France's Cac-40.

In the UK, the FTSE 100 ended the day nearly flat at 6,365.10 points after the Bank of England kept Bank Rate and the size of its asset purchase programme unchanged at 0.5% and £375bn. The BoE voted 9-0 to keep its policy settings on hold, as expected.

At the same time, oil prices pared losses as the International Energy Agency said the global oil glut was set to ease by the end of this year. It also said that any potential agreement to freeze output at the Doha meeting this weekend would have only a limited impact on supplies.

By the closing bell, West Texas Intermediate was up by 0.0382% to $41.92 a barrel and Brent crude was 0.45% firmer at $44.38.

“It is common knowledge that oil prices have partly contributed to the resurgence of global stocks, but if the Doha meeting on Sunday disappoints, both oil and stock markets may sink like a stone,” said FXTM research analyst Lukman Otunuga.

On the corporate front, Burberry was under the cosh after the fashion house warned that profits in 2017 were likely to be around the bottom of the range of analysts’ forecasts.

Consumer goods group Unilever was also in the red after reporting growth in underlying sales and volume, though the top line declined in its first quarter update.

Shares in French retail group Casino nudged lower after reporting an 11% drop in first-quarter revenue.

On the upside, Swiss food company Nestle pushed higher after its first-quarter sales beat analysts’ estimates.

In London, shares in Peppa Pig owner Entertainment One surged following reports it was in talks with ITV over a possible takeover, although the company said early on Thursday that it had not received any approaches.