European stocks fell as sentiment took a hit from weak US jobs data, with investors also tracking a busy slate of earnings and key interest-rate decisions. Novo Nordisk A/S dropped as a US competitor plans to offer cheaper copies of its new weight loss pill.

The Stoxx Europe 600 Index fell 1% at the close. Miners were among the biggest laggards after a steep drop in silver prices, while Glencore Plc sank 7%, the most since April, after Rio Tinto Plc abandoned merger talks. Auto stocks and banks also fell sharply. Technology and media shares outperformed.

The benchmark extended its losses following figures showing that US companies announced the largest number of job cuts for any January since 2009, according to data from outplacement firm Challenger, Gray & Christmas Inc. Separate data showed applications for US unemployment benefits rose by more than forecast last week, when severe winter weather curtailed business activity.

“The weak jobs data in the US is the clearest expression we have of the K-shaped economy there,” said Joachim Klement, head of strategy at Panmure Liberum. “While the technology sector is booming, the rest is suffering from higher tariffs and a lack of demand.”

Among other individual stock moves, Novo Nordisk fell 7.9% after US telehealth firm Hims & Hers Health Inc. said it will offer a copycat version of its Wegovy weight loss pill at a lower price. Rheinmetall AG slumped 6.5% after its call with analysts led to expectations of downgrades to consensus estimates for the defense company. BBVA SA dropped the most in 10 months after the Spanish lender reported higher provisions in key markets such as Turkey and Mexico.

In a big day for monetary policy, the Bank of England held rates, but came within a vote of cutting after its updated forecasts showed inflation falling below its target, slower growth and rising unemployment rising. The exporter-heavy FTSE 100 briefly erased gains, before resuming its drop, as the pound weakened against the dollar amid increased bets of easing at the next BOE meeting.

“The tight vote at the Bank of England signals that central bankers in Europe are more willing to cut rates than investors think,” said Panmure Liberum’s Klement.

The European Central Bank also kept rates unchanged as officials assess the economic toll of a rally in the euro and renewed trade unpredictability.

The Stoxx 600 has touched record highs this week on the prospect of resilient economic growth, with the benchmark hovering just below overbought territory. Meanwhile, a selloff in software stocks has rattled investors concerned about the impact of AI disruption, sparked by Anthropic PBC’s Claude Cowork tool. That’s playing out during a mixed earnings season, and as investors digest the nomination of a new Federal Reserve chair.

“Europe has been unloved for so long with the exception of 2025, but I don’t think that even the ‘Claude selloff’ will drive a more meaningful rotation considering the Fed appointment turned out better than expected and tariff fears are nearly out of the way,” said Andrea Gabellone, head of global equities at KBC Securities.

In other individual stocks, Vestas Wind Systems A/S shares fell 8.7% on a softer-than-expected services revenue forecast. Meanwhile, the drop in silver prices was a boost for Pandora A/S as its shares jumped 5.6%, offsetting news that it would pause buybacks after forecasting slowing sales this year.

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With assistance from Michael Msika.

This article was generated from an automated news agency feed without modifications to text.