Oil prices jumped by nearly 6 percent on Wednesday, but pared some gains on Thursday, after an accord was struck among OPEC members.
The 14-country OPEC oil cartel agreed to seek a cut in crude production when they meet formally in November — paving the way for the first cut in oil supply since 2008. U.S. and European stocks rallied on Wednesday and European ones continue to do so on Thursday, with gains led by oil and gas stocks.
London-listed Tullow Oil was the best performer on the on the Stoxx 600, closing trading nearly 10 percent higher.
"Facing the prospect of another sharp fall in oil prices, OPEC has finally put forward the face-saving measure that they hope will keep a floor on oil prices until the next demand season arrives," a team at Barclays said in a note on Thursday.
OPEC excitement appears to be waning on Wall Street, with stock indexes mostly lower in early trade on Thursday.