European stocks rose on June 6, buoyed by better-than-expected U.S. non-farm payroll data, which eased concerns over the trade war and boosted investor confidence. The pan-European STOXX 600 index climbed 0.32% to 553.64 points, gaining 0.6% for the week. The financial sector saw a robust 1.3% increase.

However, major European indices showed mixed results on that day. The German DAX index fell 0.08% to close at 24,304.46 points, while the UK's FTSE 100 index rose 0.30% to 8,837.91 points, and France's CAC 40 index increased by 0.19% to 7,804.87 points. Recently, the German stock market has remained near historical highs, and the Spanish stock market has experienced its longest winning streak in four months, rising for eight consecutive weeks.

The U.S. Labor Department reported that 139,000 non-farm jobs were added in May, surpassing expectations and alleviating concerns over the impact of the trade war on the U.S. labor market. Moreover, President Trump spoke with President Xi Jinping, confirming that U.S. and Chinese officials are set to meet in London on June 9 to discuss trade agreements, raising market expectations for an easing of the U.S.-China stalemate. However, U.S. tariff policies continue to introduce uncertainty, with the Trump administration doubling tariffs on steel and aluminum imports to 50% as of June 4, which significantly affected European auto stocks, which fell 1.8% last week.

The new German Chancellor Friedrich Merz met with Trump at the White House last week, indicating he seeks a mutual exemption agreement for auto tariffs with the U.S. Additionally, the European Central Bank announced a rate cut of 25 basis points last week, as expected, but ECB President Christine Lagarde's hawkish stance hinted that the easing cycle might be nearing its end. The market currently expects that the authorities will maintain rates in July and likely would only cut rates once more by the end of the year.

In stock news, the Swiss government has imposed stricter capital regulations on UBS, requiring the bank to raise $26 billion in core capital, with the new regulations expected to be fully implemented by 2033. Analysts believe this will ultimately benefit UBS, leading to a 3.8% rise in its stock price.