FX.co ★ European Stocks Cut Gains on Friday

Early gains of about 1% in both the STOXX 50 and STOXX 600 faded on Friday, leaving the benchmarks down 0.2% as volatility persisted and investors weighed mounting uncertainty over the economic fallout from the Middle East conflict. Oil prices, which had opened lower, reversed course and climbed, while ongoing strikes in the region added to supply concerns.

Technology and consumer cyclical shares lagged, with Roche (-1.7%), SAP (-1.6%), and Hermès (-2.3%) all weaker, and Maersk sliding more than 4%. By contrast, Infineon outperformed, advancing 3% to top the STOXX 600 after JPMorgan upgraded the stock on expectations of stronger demand linked to AI-driven power technologies.

On a weekly basis, the STOXX 50 is down 1.7% and the STOXX 600 has lost 2.1%, marking a third straight week of declines.