The European Stoxx 600 index rose on Friday, heading towards its best weekly performance since March, led by car manufacturing stocks, as sentiment was bolstered by optimism surrounding a potential end to the monetary tightening cycle in major central banks. The Stoxx 600 index increased by 0.3% by 08:10 GMT, supported by strong earnings and signs of slowing inflation. Investor hopes that interest rates have peaked were fueled by the recent decisions of the Federal Reserve (the U.S. central bank), the Bank of England, and the European Central Bank to maintain interest rates.
The automotive sector gained the most, driven by a 2.6% rise in BMW's shares due to increased profit margins in its automotive division during the third quarter. Volvo Car's shares rose 4.6% following the announcement of October sales.
In contrast, Austrian industrial equipment manufacturer Andritz led the Stoxx 600 gains, surging 6.5%. On the downside, shipping giant A.P. Moller-Maersk saw its shares plummet 9.2% after announcing third-quarter results.
