The pan-European Stoxx 600 experienced a 0.4% increase by mid-afternoon, driven by a 1.3% surge in bank stocks leading the gains, while insurance stocks saw a 0.4% decline.

The flash euro zone inflation data for February revealed a decrease in the headline consumer price index to 2.6% from January’s 2.8%.

Economists surveyed by Reuters had predicted a headline reading of 2.5%.

The European Central Bank closely watches this data as it navigates potential future interest rate cuts, especially with economic growth remaining sluggish across much of the bloc.

Market expectations point towards the ECB initiating cuts in June, aligning with the Federal Reserve.

Earnings played a pivotal role in influencing individual share prices in Europe, with Grifols, Daimler Truck, and ITV all registering double-digit gains due to robust results, CNBC reported.

In the Asia-Pacific region, Japan’s Nikkei 225 achieved a new record high on Friday, just shy of the 40,000 level, while Chinese markets saw an uptick following fresh manufacturing data from the mainland.

In the United States, U.S. stock futures experienced a slight dip after Wall Street concluded its fourth consecutive winning month. The tech-heavy Nasdaq Composite achieved its first closing record since November 2021.

Written by B.C. Begley