Europe finishes lower as investors digested latest US jobs report

Europe finished Friday's session on a negative note as investors digested the latest jobs report out of the U.S., while monitoring moves in the bond markets.

The pan-European Stoxx 600 closed down 0.86 percent, with all sectors closing around the flatline or in the red. On the week, the Stoxx 600 tumbled 1.77 percent.

The FTSE 100 sank 1.35 percent, weighed down by the miners; while France's CAC 40 slipped 0.95 percent and Germany's DAX dropped 1.08 percent.

Washington and Beijing's political sparring marks the latest escalation in tensions between the world's two largest economies, with investors increasingly concerned about an ongoing trade conflict. Basic resources stocks — with their heavy exposure to China — led the losses in Europe. Antofagasta, Anglo American and Rio Tinto all finished trade down 4 percent or more.

U.S. stocks were sharply lower around the European market close, as investors digested the news that job creation for September had fallen to its lowest level in a year, while the unemployment rate sank to a level that hasn't been seen in close to 50 years.

Market focus remains largely attuned to the recent moves in U.S. bond yields, which have climbed in recent days following robust economic data that exacerbated concerns about inflation and the risk of faster-than-expected interest rate hikes.

Closer to home, Italy's anti-establishment government has announced its new strategy to financial policy: a "brave and responsible" initiative, ending weeks of speculation about its spending plans. The FTSE MIB closed deep in the red on Friday.

Just a week after U.S. stocks plowed to fresh records, investors continued to sell the bull market’s biggest winners, ditching high-flyers from Amazon.com to Netflix.

Elsewhere, West Texas Intermediate crude oil prices climbed back toward $75 a barrel. Copper led a decline in industrial-metal prices as a rally in raw materials stalled. Gold advanced, capping the best week in six for the precious metal.