FX.co ★ European Stocks Edge Up, Set for Weekly Loss

European stocks inched higher on Friday, with the Stoxx 50 up 0.4% after five straight sessions of losses, as global government bond markets steadied following two days of sharp swings. A softer US dollar underpinned gold prices, helping basic resources lead sectoral gains. Among blue chips, ASML Holding and Banco Santander rose more than 1%, while L’Oréal slipped more than 0.5%.

Investors also digested new data from France, where manufacturing returned to growth and beat forecasts, even as the services sector contracted more sharply than expected. Oil prices drifted lower as markets continued to gauge the impact of the prolonged US-Iran conflict on energy supplies and inflation. Despite Friday’s tentative rebound, European equities remained on course for a weekly loss, weighed down by persistent geopolitical uncertainty, elevated bond yields and ongoing concerns about the monetary policy outlook.