On Friday European stocks climbed, with the Stoxx Europe 600 Index extending its largest weekly rally since November 2008, before a report that may show the U.S. economy added workers at a faster pace last month. U.S. index futures and Asian shares also gained.

Commerzbank AG rose 4.8 percent after a report that the lender has a plan to shore up its capital without state aid. Home Retail Group Plc surged following a report that private- equity firms CVC Capital Partners and Bridgepoint Capital Holdings may be considering a cash bid.

The Stoxx 600 has rallied 8.9 percent this week, its biggest advance in three years, as the European Central Bank and five other central banks lowered the cost of dollar funding, China cut its reserve-requirement ratio for banks and U.S. consumer confidence unexpectedly rose in November.

German Chancellor Angela Merkel said that only fiscal union will tackle the euro area’s debt crisis at its roots, as she used a speech to lawmakers in Berlin to outline her position before a European Union summit on the 9th December. The euro area needs fiscal oversight that’s “binding” and includes “real automaticity” to punish states that persistently breach debt and deficit rules, Merkel said.

French President Nicolas Sarkozy called for “more discipline” and automatic penalties for nations that break fiscal rules late on Thursday. In his speech in Toulon, France, Sarkozy said the 17-nation euro area, bound by a currency introduced a decade ago and intended to be permanent, risked “exploding” if members failed to converge.

Asian stocks rose, with the MSCI Asia Pacific Index set for its biggest weekly gain since August 2007, ahead of German Chancellor Angela Merkel’s speech to lawmakers on Europe’s debt crisis and after U.S. manufacturing expanded more than forecast.