European equity markets held steady on Thursday, with the summer trading session characterized by thin volumes, despite a fresh wave of positive corporate earnings reports. Dutch payments firm Adyen NV saw its shares surge 16% after raising its revenue outlook.

By the London close, the Stoxx Europe 600 Index was virtually unchanged. Mining stocks were the weakest performers, with copper producer Antofagasta Plc tumbling 6.7% after lowering its production guidance. In contrast, the food and beverage and telecommunications sectors posted strong gains. Trading volume on the benchmark index was 19% below the average.

Among other individual stocks, A.P. Møller-Maersk advanced 9.4%. The shipping giant raised its full-year outlook for the second time in seven weeks, benefiting from rising freight rates. Despite geopolitical tensions, the resilience of European economic growth, which has far exceeded earlier fears, has propelled the region's benchmark index to record highs.

Corporate earnings have also been robust. Data compiled by Bloomberg Intelligence shows that second-quarter profits for MSCI Europe Index constituents grew 17% year-on-year, the fastest pace since the end of 2022. The artificial intelligence trade has also re-emerged as a market focal point. Citigroup's basket of European AI-enabled stocks has risen 46% over the past year. While this trails the 60% gain in a US AI winners portfolio, the European stocks have experienced less volatility.

"With market liquidity declining during the summer, we expect trading could become quite thin in the coming weeks," said Richard Flax, Chief Investment Officer at Moneyfarm. "Looking ahead, investors will be watching to see if corporate earnings momentum can be sustained. We also note there are still lingering concerns about the supply-demand dynamics in the AI sector, but for now, the overall fundamental picture for stocks remains fairly solid."