UPDATE 2-European stocks clock best weekly showing in 2 months, French shares shine

* European shares record best weekly performance in two
months
* Sanofi shares rise after it poaches Novartis
Pharmaceuticals CEO
* Tech stocks rise on hopes of U.S.-China trade thaw

(Recasts, updates to close, adds quote)
By Aaron Saldanha
June 7 (Reuters) - European stocks posted their best weekly
performance since early April on Friday, aided by strong gains
in Paris, against a backdrop of hope among investors that
central banks would support global growth with more
accommodative policies.
The Bundesbank slashed its growth projections for Germany
and euro zone money markets now price in a 60% chance of the
European Central Bank cutting interest rates by 10 basis points
by year-end, while U.S. job growth slowed sharply in May,
feeding expectations of lower U.S. interest rates in 2019.
US/ The pan-European STOXX 600 .STOXX gained 0.9%, with
Paris-traded stocks .FCHI posting a 1.6% gain.
Frankfurt-listed shares .GDAXI rose 0.8%, while their peers in
London .FTSE firmed 1%. .L
"Investors continue to pile into equities, with the jobs
report and subsequent stock rally capping a very good week for
equity markets," Chris Beauchamp, chief market analyst at IG,
wrote in a note.
Sanofi SASY.PA tacked on 4.4% to prop up the French index
and European health care .SXDP stocks, on news it has poached
Paul Hudson from Novartis NOVN.S to become its new chief
executive later this year.
The STOXX 600's top performer was Dutch insurer ASR
Nederland ASRNL.AS with a 5.8% rise, after rival Vivat, for
which ASR previously made an offer, agreed to be bought by
private European life insurer Athora. Technology shares .SX8P , broadly sensitive to trade war
ructions, starred with a 2% gain. Chinese President Xi Jinping
on Friday called U.S. President Donald Trump his friend and said
he believed the United States was not interested in rupturing
economic ties with China. The chemicals sector .SX4P was among Europe's top
performers, rising 1.1%. Belgian chemical and materials maker
Solvay SOLB.BR gained 2.3%, aided by UBS upgrading its rating
on the stock and boosting its target price. While higher Brent crude futures LCOc1 fuelled energy
shares' .SXEP 1.2% rise, Polskie Gornictwo Naftowe i
Gazownictwo SA PGN.WA led the sector with a 3.5% gain. A unit
of the Polish firm bought a stake in the Norwegian King Lear
deposit from Total E&P Norge. O/R
Financial services .SXFP rose 0.8%, with the sector's
gains led by Exor EXOR.MI , which added 1.6%. The Milan-listed
firm is the top shareholder in Fiat Chrysler Automobiles
FCHA.MI , which pulled away from an offer to merge with Renault
RENA.PA earlier this week. Automakers and their suppliers .SX7P gained 0.1%, as a
4.9% fall in German car parts maker Hella HLE.DE following a
rating downgrade by brokerage BHF weighed.
Real estate stocks .SX86P dipped 0.6%, making them the
STOXX 600's only losing sub-sector.
Deutsche Wohnen DWNG.DE slid 8.5% after Morgan Stanley
downgraded its rating on the German property group to "equal
weight" from "overweight". The bank cited the risk of rising political involvement in
the German residential market. The Berlin Senate proposed
earlier this week to impose a five-year rent freeze from January
2020.