European shares edge lower ahead of US jobs data; Volkswagen jumps

European shares ticked lower on Friday ahead of closely ‌watched U.S. jobs data, while Volkswagen's shares rallied after the automaker announced a major transformation plan that includes 50,000 job cuts.

The pan-European ‌STOXX 600 dipped 0.1% to 648.67 points by 0710 GMT. Germany's ‌DAX was up 0.1%, London's FTSE dipped 0.1% and France's CAC 40 fell 0.2%. Shares of Volkswagen jumped 6% after the supervisory board of Europe's largest automaker ⁠struck ​a turnaround agreement ⁠that averted an escalation with unions and shareholder Lower Saxony. The broader European ⁠autos index jumped 1.1%.

Investors awaited the August U.S. nonfarm payrolls report for fresh ​clues on the Federal Reserve's policy path. The latest escalation ⁠in the Middle East conflict has pushed oil prices higher, raising fears ⁠of ​renewed inflationary pressures and triggering a selloff across global equity and bond markets in recent weeks.

Oil prices rose on Friday, ⁠heading for their steepest weekly gain since mid-July, with Brent crude trading ⁠at around $96 ⁠per barrel. Economically sensitive chemical and banking sectors fell almost 1% each, weighing on the main European stocks ‌index.