European markets closed mixed Friday, with investors digesting the European Central Bank’s updated inflation forecast and new U.S. jobs data.

The Stoxx 600 index provisionally closed 0.03% higher, with sectors and major bourses trading in mixed territory. Financial services were up 1% while technology dropped 1.5%.

German industrial output rose 1% in January, more than the 0.5% expected, new data showed Friday. Construction and manufacturing output also rose 2.7% and 1.1%, respectively.

Revised euro zone statistics showed gross domestic product remained steady in the fourth quarter on 2024. Meanwhile, Europai, Cepsa, Royal London Group and Informa all reported earnings.

The pan-European benchmark closed 1.05% higher at 503.45 points Thursday after surpassing the key 500 level for the first time during the session.

Investors were buoyed after the ECB revised its forecast for inflation in 2024 to 2.3% from 2.7%, even as it held interest rates steady. Markets have already been pricing in rate cuts beginning in June, and took the updated macro forecasts as a further support for that timeline.

U.S. stocks saw muted gains following February’s jobs report, which presented a mixed picture as more jobs were added than forecast but unemployment unexpectedly rose to 3.9%.