The pan-European STOXX 600 was up 0.1 per cent as of 0828 GMT, hitting a new peak in early trading.
Richemont surged 7.8 per cent after beating profit estimates in the first half of the fiscal year and saying it is seeking investors for its loss-making Yoox business, in a move widely expected to appease shareholders.
Personal and household stocks led gains as luxury firm LVMH jumped 1.5 per cent after news that Louis Vuitton was planning to open its first duty-free store in China.
Oil stocks fell 0.5 per cent as crude prices were dented by a firmer U.S. dollar owing to market bets of an earlier-than-expected Federal Reserve rate hike.
Deutsche Telekom climbed 2.1 per cent after beating profit expectations and raising its full-year outlook for the third time, boosted by growing subscribers in its U.S. unit T-Mobile.
Italian infrastructure firm Atlantia rose 1.2 per cent after raising its 2021 forecast, while Dutch oil and chemical storage group Vopak also advanced 0.3 per cent after beating estimates for quarterly profit.
