Richemont reported better-than-expected sales, up 10% compared with the prior-year period, in the midst of a downward trend in demand for luxury goods that is weighing on most high-end brands.

For the first time since the Great Recession, the luxury market has been trying to navigate one of its worst slumps. An uncertain global economy and the softening in customer spending have caused many high-end companies to suffer financially due to the continuous slowdown in sales,

Richemont sales unexpectedly jumped by double digits during the holiday shopping season as consumers splurged on Cartier jewelry, a sign of recovering demand for luxury goods.

KEY TAKEAWAYS European luxury shares jumped Thursday after Cartier parent Richemont reported record quarterly sales.Richemont's results raised investor hopes that the high-end sector is recovering from the slump induced by weak Chinese demand.

Shares of top luxury goods companies soared in European trading today, following a robust end-of-year sales report from Richemont (SIX:CFR), which owns the prestigious Cartier brand. The positive sales data has sparked optimism for a broader recovery in the luxury sector,