Euro Zone: Stocks Decline for 3rd Session.

European stocks closed firmly lower on Thursday amid a batch of negative earnings, hawkish hints from the ECB, and the impact of a softening US labor market. The Eurozone's STOXX 50 fell 0.8% to 5,976 and the European STOXX 600 dropped 1.1% to 612. The ECB left its rates unchanged as largely expected during the session, but President Lagarde downplayed the recent data of softer inflation and concerns of a stronger euro, limiting bets of incoming cuts this year. Conversely, the BoE held rates but multiple MPC members opted for cuts. Shell fell 3.5% after missing profit estimates amid lower crude prices. BBVA tumbled 8.8% as its results failed to meet investor expectations. Maersk fell 3.5% after warning of a decline in earnings in 2026, and Rheinmetall dropped 6.5% after cutting its guidance. On the upside, BNP Paribas added 1.5% after raising its outlook for shareholder returns, and ArcelorMittal inched higher after reporting a stronger-than-expected Q4 profit.