European stocks are awaiting their best weekly performance since March

The European STOXX 600 index rose on Friday and is heading towards achieving its best weekly performance since March, led by auto stocks, as sentiment was supported by optimism linked to a possible end to the monetary policy tightening cycle in major central banks.

The European STOXX 600 index rose 0.3 percent by 0810 GMT, and was also supported by strong earnings and signs of slowing inflation.

Investors’ hopes that interest rates have peaked have received support from the Federal Reserve, the Bank of England, the European Central Bank and others holding interest rates recently.

The sub-index for automobile companies led the sectors’ gains, supported by a 2.6 percent rise in BMW shares due to an increase in profit margins in its automobile unit in the third quarter of the year. Volvo Car shares rose 4.6 percent following the October sales announcement.

The shares of the Austrian industrial equipment manufacturer Andritz topped the gains of the STOXX 600 index, jumping 6.5 percent.

On the other hand, shares of A.P. Moller-Maersk Shipping fell 9.2 percent following the announcement of third-quarter results.