European stock indices fell

European stocks fluctuated, heading for their biggest weekly gain in two months, as drugmakers retreated, offsetting a report that showed Japanese industrial production beat estimates. U.S. futures and Asian shares rose.

The Stoxx 600 declined less than 0.1 percent to 286.33 at 10:30 a.m. in London, erasing an advance of as much as 0.4 percent. The equity benchmark has increased 2.1 percent this week, halting a five-week decline. The gauge has still dropped 4.8 percent in June, paring its gain this year to 2.4 percent.

A report today showed that Japanese industrial output rose 2 percent in May, the most since December 2011. Economists had projected that industrial production would climb 0.2 percent from the previous month, according to the median estimate in survey.

Fed Bank of Atlanta President Dennis Lockhart, who has supported stimulus, said investors may have overreacted to Chairman Ben S. Bernanke's announcement that the central bank could start scaling back its bond purchases this year.

"In my view, the comments by the chairman do not constitute an enormous shift in policy," Lockhart said to the Kiwanis Club of Marietta. "I still anticipate that the very low interest-rate policy will remain in place for a considerable time after the end of asset purchases, and thus policy will remain highly accommodative."

German retail sales rose in May more than economists had forecast, adding to signs that a recovery in Europe's largest economy has gathered pace this quarter.

Sales adjusted for inflation and seasonal swings climbed 0.8 percent from April, when they fell a revised 0.1 percent, the Federal Statistics Office in Wiesbaden said today. Economists had predicted an increase of 0.4 percent, according to the median estimates in survey.

Roche Holding AG, the maker of the Avastin cancer drug, lost 1.7 percent for the largest drag on the Stoxx Europe 600 Index.

Mediaset SpA climbed 2.1 percent after Credit Suisse Group AG raised its price target on the shares. Serco Group Plc added 4.1 percent after predicting that its revenue growth in the first half will exceed its previous estimates.

FTSE 100 6,247.16 +3.76 +0.06%

CAC 40 3,746.1 -16.09 -0.43%

DAX 7,984.91 -5.84 -0.07%