European shares rose on Thursday within 0.86% on the background of key elections, which are now in the center of attention of investors. The driver was also optimism about a possible reduction in interest rates by the U.S. Federal Reserve, which intensified after the release of new economic data supporting the need to soften monetary policy, Bloomberg writes.

France's CAC 40 index rose for the second day in a row ahead of the final round of snap parliamentary elections to be held this weekend.

The pan-European Stoxx 600 index rose 0.6%. After the close of trading, futures on the Stoxx 50 held at highs since mid-June. U.S. stock exchanges were closed Thursday in observance of a national holiday.

Meanwhile, traders are following rumors that President Joe Biden may drop out of his re-election bid after a failed debate with Donald Trump last week, adding to concerns about the 81-year-old candidate's age. Wall Street has begun reallocating assets that could be affected if Trump wins in November, the Journal reported.