Inflation in the Eurozone slowed by more than expected in January, according to preliminary data from Eurostat, although the figures only include an estimate of price growth in the bloc's biggest economy Germany.

China's factory activity shrank more slowly in January than in the previous month thanks to the end of the country's zero-COVID policy, though infections among workers still hampered production, a private sector survey showed on Wednesday.

Oil prices rebounded on Thursday after tumbling in the previous session as a weaker dollar brought back some appetite for risk assets and the OPEC+ decision to roll over an output cut helped ease oversupply concerns.

Asian shares soared on Thursday while the dollar eased after Federal Reserve Chair Jerome Powell said a "disinflationary" process was underway, boosting risk appetite as investors hope the climb in U.S. interest rates will come to an end soon.

The dollar slid on Thursday after the U.S. Federal Reserve said it had turned a corner in the fight against inflation, giving markets a boost in confidence that the end of the central bank's rate-hike campaign was near.

The Federal Reserve raised interest rates by 0.25% on Wednesday, and signaled a need to push monetary policy further into restrictive territory as the central bank looks to make up further ground in its battle against inflation.