European stocks drop 0.4% on disappointing earnings

European major stock indices were down on Friday, with the STOXX 50 and the STOXX 600 declining by 0.4% as investors processed the latest corporate earnings and anticipated economic reports.

European stocks drop 0.4% on disappointing earnings

Mercedes-Benz shares fell approximately 3% following disappointing results that showed the carmaker's net profit had halved. Vinci also dropped nearly 3% after reporting unimpressive results for the year's first nine months. In contrast, Sanofi rose 1.6% after exceeding earnings expectations and reporting an increase in profit.

NatWest shares rise 5% as Eurozone inflation expectations fall

NatWest saw its shares climb about 5% after its earnings surpassed estimates, and the British bank raised its outlook for the year. Additionally, Eurozone consumer inflation expectations decreased again in September, while Germany's Ifo business climate index beat forecasts. The STOXX 50 has declined by about 1% for the week, and the STOXX 600 has dropped 1.1%.