European equities recovered on Friday, supported by a retreat in oil prices that alleviated some of the strain from rising bond yields, with technology shares leading the advance.

The Stoxx Europe 600 Index closed 0.8% higher, though it still finished the week down 1.1%.

Data showing U.S. job growth in September came in below expectations and the unemployment rate edged up eased pressure on the Federal Reserve to raise rates, helping the index extend its gains.

Raphael Thuin, head of capital markets strategy at Tikehau Capital, said: "It's clearly a case of bad news being good news. This cools the narrative that the economy is strong enough to force the Fed to hike too quickly."

European technology stocks led the rally, with ASML Holding NV and Infineon Technologies AG both rising more than 3%.

Brent crude fell to around $100 a barrel after reports that European countries are discussing releasing strategic reserves to ease surging fuel prices.

Among individual movers, IG Group Holdings Plc plunged 23% after reporting an unexpected decline in third-quarter revenue, despite having raised its outlook just months earlier.

Kering SA fell 3.2% after analysts, following pre-close discussions with management, noted that conditions in the luxury goods sector are deteriorating and the market remains weak.

Despite Friday's rebound, European stocks remain under pressure after several days of rising bond yields and concerns over the economic outlook.

France's political and fiscal challenges are drawing particular attention. The Stoxx Europe 600 Index remains below its record high set in August.

Mabrouk Chetouane, head of global market strategy at Natixis IM, said weak economic growth and rising interest rates could weigh on the region's equities. He added: "Moreover, the current political situation means absolutely no one expects any kind of fiscal consolidation in France."