European Stock Markets End Mixed

European stock markets ended mixed on Friday, buoyed by gains in the luxury sector as investors digested the latest ECB interest rate cut and growth data from China, the world's second-largest economy.

Index Performance

The DAX index in Germany traded 0.4% higher, the CAC 40 in France gained 0.4%, while the FTSE 100 in the U.K. dropped 0.3%.

Luxury Stocks Soar

The European stock markets were boosted by gains in the luxury stocks index after a selloff earlier this week following LVMH's weak third-quarter sales. The performance of LVMH Moet Hennessy Louis Vuitton, Gucci-owner Kering, and Hermes resulted in France's main equity index outperforming regional bourses. This followed the release of GDP data showing that the Chinese economy grew 4.6% in Q3, though below Beijing’s annual target. China's central bank also announced funding schemes that will inject approximately 800 billion yuan (over $110 billion) into the stock market.

Elsewhere, AB Volvo's stock rose 3.6% after the truck maker's positive financial outlook for fiscal year 2025, contrasting with expectations of a decline in Europe.

Netflix Surges

In the U.S., Netflix will be in the spotlight after gaining 5.1 million streaming subscribers in Q3, exceeding expectations. Shares of Netflix surged 10% in U.S. afternoon trading.

ECB Cuts Interest Rates Again

The European Central Bank (ECB) cut interest rates by 25 basis points to 3.25%, marking the first back-to-back rate cut since 2011 amid a worsening economic outlook and signs that inflation is under control. Good economic news emerged as UK retail sales rose 0.3% in September, contrasting with expectations for a decline.

Crude on Track for Weekly Losses

Oil prices slipped on Friday, on track for their largest weekly loss in over a month due to demand concerns. As of 1:06 PM ET, Brent dropped 1.28% to $73.51 per barrel, while U.S. crude futures traded 1.42% lower at $69.67. Both benchmarks settled higher on Thursday after a drop in U.S. inventories but are still on track to see about a 6% decline this week as OPEC and the International Energy Agency cut forecasts for global oil demand.

Peter Nurse contributed to this report