Market Shifts: Europe's Volatile Week amidst Tech Stock Concerns and ITV's Major Move

European shares faced a turbulent week, closing lower on Friday due to lingering concerns over the elevated valuations of technology stocks worldwide. However, Britain's ITV caught attention as its shares surged on speculation about a potential sale of its broadcasting division to Sky.

The STOXX 600 index fell 0.3% to 565.90 points, heading for its largest two-week loss since early September, driven by a mix of elevated tech valuations, a U.S. governmental shutdown, and hawkish remarks from the Federal Reserve.

Despite the downturn, some investors took advantage of the dip to selectively invest in AI stocks with strong cash reserves. Meanwhile, auto stocks rebounded, and ITV soared by 15.3% amid speculative talks of its sale to pay-TV company Sky for £1.6 billion, including debt considerations.