European Shares Soar Amid Interest Rate Buzz and Luxury Brand Boost

European stocks reached a record peak, driven by personal goods and mining sectors. Notable gains were seen in luxury brands like Burberry and LVMH. Investors were optimistic as President Trump advocated for reduced interest rates and hinted at a potential trade agreement with China.

European stock markets attained record highs on Friday, buoyed by significant gains in personal goods and mining sectors. Personal and household goods climbed 1.6%, with Burberry spearheading the surge. The British luxury brand's shares soared 14% after reporting a smaller than anticipated decline in store sales.

Other leading luxury brands followed suit, with LVMH rising 7.8% and Gucci's parent company, Kering, advancing 3.2%. Mining stocks jumped 2.1%, correlating with a surge in metal prices. Investors were cheered by U.S. President Donald Trump's call for lower interest rates during his World Economic Forum address.

Speculation continued around potential trade negotiations between the U.S. and China, as hinted by the president. Market watchers are awaiting the euro zone's flash PMI figures, which, alongside regional data, could influence further market movements. Telecom giant Ericsson, however, saw an 8.4% decline following underwhelming fourth-quarter profits.

(With inputs from agencies.)