In European Equity Markets major indexes ended in positive territory on Friday, as investors digested new earnings, data and a political breakthrough in Germany. The pan-European STOXX 600 finished up 0.31 percent, with the majority of Europe’s sectors gaining for the day. On the week, the STOXX 600 ended on a positive note, up 0.29 percent. Autos was Europe’s top-performing sector Friday, closing up 1.24 percent, boosted by British multinational automotive firm GKN, which jumped more than 26 percent after it rejected an acquisition proposal. German automakers Volkswagen and Porsche also posted solid gains. Retail stocks closed up 1 percent as a sector, with Portuguese firm Jeronimo Martins leading the pack, along with B&M European Value and Ocado.

In Currency Markets the US dollar fell to a more than three-year low against the euro on Friday, as the common currency extended its gains on hopes that European Central Bank policymakers are preparing to reduce their vast monetary stimulus programme. The euro was up 0.9 percent to $1.2139, on pace for its biggest single-day percentage gain against the greenback in about two months. The euro’s rise weighed on the dollar index, which measures the greenback against six rival currencies. The index was down 0.59 percent at 91.31, after slipping to a four-month low of 91.243. Sterling also jumped to its highest level against the dollar since the vote to leave the European Union in mid-2016, after a report that the Netherlands and Spain were open to a softer Brexit deal for Britain. Sterling was up 0.98 percent to $1.3668.

In Commodities Markets oil prices edged lower on Friday after hitting a three-year high the previous day, but the benchmarks remained on track for a fourth straight week of gains. A drawdown in U.S. inventories and a pullback in production, combined with steady demand and the extension of OPEC’s global supply cut agreement, has pushed the oil-market rally for several weeks, helping push Brent crude through $70 a barrel for the first time since December 2014. Brent crude futures traded 13 cents lower at $69.13 a barrel. U.S. West Texas Intermediate (WTI) crude futures fell 14 cents to $63.66. WTI hit its strongest since late 2014 at $64.77 on Thursday. For the week, Brent was set for a 2.3 percent gain while WTI was on track for a 3.5 percent rise.

In US Equity Markets main indexes gained on Friday as strong results for JP Morgan lifted financial stocks and robust retail sales data drove gains in consumer stocks. The biggest U.S. lender by assets said the new tax law would help future profits by not only reducing the amount it pays the federal government but also by stimulating more business. Shares of JP Morgan rose 1.1 percent, helping lift the S&P financial index up 0.6 percent, after its fourth-quarter profit beat estimates. The S&P 500 was up 0.50 percent, at 2,781.45. The Nasdaq Composite gained 0.55 percent, at 7,251.14. Advanced Micro Devices fell 2.66 percent after the chip-maker said its microprocessors are prone to both variants of the Spectre security flaw, days after saying its risk for one of them was “near zero”.

In Bond Markets German bond yields hovered near recent highs on Friday as coalition progress in Germany kept upward pressure on yields after this week’s bond sell-off triggered by the possibility of a European Central Bank rethink on policy messaging. German Chancellor Angela Merkel’s conservatives and the Social Democrats (SPD) agreed on Friday after all-night talks to a blueprint for formal coalition negotiations, party sources said. Italy’s 10-year government bond yield was down 6 basis points to 2 percent. Spanish 10-year yields were also lower by 2 bps.The yield on Germany’s 10-year government bond rose as high as 0.54 percent in early trade, the highest since August. It fell later in the session but was still close to three-month highs at 0.52 percent, down a basis point on the day.