(Reuters) – European shares opened higher on Friday, supported by gains in blue-chip stocks, with investors remaining upbeat after the European Central Bank hinted it could start cutting interest rates as early as June.
The pan-European index gained 0.9%, and was on track for a weekly gain of 0.4%, while the blue chip index gained 1.1%.
The basic resources index led sector gains, with its 2% rise tracking a rally in base metal prices.
Stocks in major regional economies, such as Germany, France, Spain and Italy, gained between 0.5% and 1.0%.
Among top movers, Varta slumps 32.6% to a record low and is headed for its worst day since September 2022, after the German battery maker said its restructuring plans would fail to make it profitable by 2026.
Elsewhere, it gained 0.8% after data showed UK economic output grew for a second straight month in February and the January reading was revised higher.