European stock markets have experienced a robust rebound, with the pan-European STOXX 600 index rising over 1% on several occasions, driven by optimistic U.S. retail sales data and favorable inflation reports. This surge has alleviated recession fears and sparked increased investor confidence, particularly benefiting sectors like technology and banking. The UK economy's growth of 0.6% in the second quarter has also contributed positively, with the FTSE 100 reflecting this upward trend. Major companies, including Admiral and Adyen, reported strong earnings, further enhancing market sentiment. Meanwhile, speculation about potential interest rate cuts by the Federal Reserve has added to the bullish outlook. Despite some individual stocks like Orsted facing challenges, the overall market remains on an upward trajectory as investors await more economic data.