2026.06.2615:53:56UTC+00European Stocks Close Week Lower

European equities ended sharply lower on Friday, weighed down by renewed weakness in banks, automakers, and AI-related infrastructure names. The Euro STOXX 50 declined 0.9% to 6,212, leaving it 1.2% lower for the week, while the STOXX Europe 600 slipped 0.7% to 635.5, flat compared with the previous Friday.

The recent rally in North American chipmakers—spurred by Micron’s upbeat guidance—unwound as doubts resurfaced over the sustainability of the AI trade. This reversal pressured European semiconductor stocks, with Infineon dropping 4.3% and ASML falling 1%. Siemens Energy, which has significant exposure to data center power infrastructure, slid 5.6%.

Banks also sold off sharply, even as falling oil prices reinforced expectations that the ECB might refrain from further rate hikes this year. Deutsche Bank lost 2.7%, while BNP Paribas and BBVA each declined by nearly 2%.

In autos, Volkswagen retreated 3.9% after reports suggested the carmaker could cut as many as 100,000 jobs and shut four plants as part of its most extensive restructuring to date.