LVMH hits alltime high after strong Q1 report
Tesco expects flat annual profit after inflation hit
STOXX 600 up 0.1, France39;s CAC 40 adds 0.9

April 13 Reuters European shares edged higher on Thursday, supported by gains in luxury stocks after LVMH posted strong firstquarter sales and hopes of a pause in the U.S. Federal Reserve39;s rate hike cycle following coolerthanexpected inflation data.

The panEuropean STOXX 600 inched up 0.1 by 0824 GMT, as investors looked past hawkish comments by European central bankers.

The bluechip STOXX 50 index edged up 0.3, after hitting its highest level in 22 years on Wednesday.

LVMH, the world39;s largest luxury company, gained 4.6 on reporting a 17 jump in firstquarter sales that breezed past estimates as business in China rebounded sharply.

You39;re probably going to see a few surprises like that this year, particularly with companies that are exposed to the Chinese middle class and consumer spending which has obviously been bottled up over the last year or so because of lockdowns, said Andrew Bell, CEO, Witan Investment Trust.

Luxury peers Richemont and Hermes added more than 3, each.

France39;s CAC 40 led regional gains, up 0.9 to hit a record high.

France obviously benefits because it39;s got a healthy proportion of these luxury goods and consumer related stocks, said Bell, adding, there were three potential beneficiaries from this optimistic environment across Europe luxury stocks on reopening, banks on being…