On October 9, 2025, in the La Défense business district of Paris, France, city workers moved briskly through the area. French President Emmanuel Macron stated that he would appoint a new Prime Minister on Friday evening, temporarily averting the need for early legislative elections—a move that could have intensified political instability in France.
On Friday, European stock markets collectively trended higher, with international relations and corporate earnings reports remaining the core focus for investors.
This week saw a dense schedule of European corporate earnings releases, with the pace of financial disclosures slowing slightly on Friday. The market is set to welcome another wave of earnings season next week.
German sportswear giant adidas AG released a business update after the market close on Thursday, which boosted its stock price by 5.7% on Friday. Preliminary data indicated that, excluding currency effects, the company's revenue surged 13% in 2025 to 24.8 billion euros (approximately $29.6 billion), reaching a historic high.
In other corporate news, Spain's Banco Bilbao Vizcaya Argentaria (BBVA) reported its earnings early Friday. The bank's net profit increased by 1.8% year-on-year to 5.89 billion euros (roughly $7 billion), surpassing analyst expectations of 5.78 billion euros. The company's dividend saw a significant 15% increase to 0.50 euros per share. BBVA described 2025 as a "bumper year" and subsequently raised its growth and profitability targets.
At the time of writing, the bank's stock was up 4.4%.
Geopolitical tensions continue to be a major point of focus for European investors. U.S. President Donald Trump told reporters on Thursday that the UK's move to reach a cooperation agreement with China carries "extremely high risks." UK Prime Minister Keir Starmer is currently on a four-day visit to China aimed at reshaping bilateral relations between the two nations.
Additionally, Trump claimed he had persuaded Russian President Vladimir Putin not to launch military strikes against Ukraine during a week of extreme cold weather affecting the country. Consequently, Russia's subsequent actions in Ukraine may serve as a litmus test for its willingness to adhere to the agreements made with the Trump administration.
Separate reports suggest the White House is considering further military strikes against Iran. Speculation regarding Trump's next steps has triggered significant volatility in the crude oil market.
Across the Atlantic, U.S. stock index futures weakened during early Friday trading following declines in the previous session. Trump had previously indicated he would announce a successor for Jerome Powell on Friday, and global investors are eagerly awaiting the nomination for the next Chair of the Federal Reserve.
Former Federal Reserve Governor Kevin Warsh has emerged as a favorite in prediction markets for the role. Warsh served at the Fed during the 2008 financial crisis.
Commenting on Warsh in a research note early Friday, Jim Reid of Deutsche Bank stated: "Although his recent commentary has supported interest rate cuts, he was previously known for his hawkish stance and severe criticism of the Fed's extensive balance sheet expansion... U.S. Treasury yields and stock index futures fell in response overnight... The initial market reaction suggests investors believe a Fed chaired by Warsh might offer less 'put' protection for asset prices compared to other potential candidates."
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