Plus   Neg

European Shares Seen Opening Mixed


European stocks look set to open mostly higher on Friday, although U.K. markets may see tepid opening after a surge in sterling on hopes that a no-del Brexit would be avoided.

The pound rose to its highest level against the dollar in more than a month amid rising expectations of delayed/soft Brexit.

Prime Minister Boris Johnson said he would "rather be dead in a ditch" than ask the EU for a Brexit delay beyond next month.

Asian markets followed global peers higher as positive U.S. data released overnight helped ease global growth worries.

Later today, the Labor Department is scheduled to release its more closely watched monthly jobs report, which includes both public and private sector jobs.

Employment is expected to increase by 158,000 jobs in August after climbing by 164,000 jobs in July. The unemployment rate is expected to hold at 3.7 percent.

Traders are also likely to keep an eye on remarks by Federal Reserve Chairman Jerome Powell on the economy and monetary policy.

Closer home, the U.K. labor market conditions softened in August on Brexit uncertainty, the latest Report on Jobs from IHS Markit showed.

According to Recruitment & Employment Confederation/KPMG report, total demand for staff grew at the weakest pace since 2012 with softer rates of increase in both permanent and temporary vacancies.

Industrial production from Germany and revised quarterly national accounts from euro area are due later in the session, headlining a busy day for the European economic news.

Overnight, U.S. stocks rose to close at their best levels in over a month as China announced the 13th round of high-level talks in its official media and investors cheered data showing U.S. services sector activity accelerated in August and private employers boosted hiring.

The Dow Jones Industrial Average surged 1.4 percent, the tech-heavy Nasdaq Composite index spiked 1.8 percent and the S&P 500 advanced 1.3 percent.

European markets rose for a second day running on Thursday to hit fresh one-month highs as fears of a no-deal Brexit ebbed and the U.S. and China agreed to resume trade talks in early October

The pan European Stoxx 600 gained 0.7 percent. The German DAX climbed 0.9 percent and France's CAC 40 index rallied 1.1 percent while the U.K.'s FTSE eased 0.6 percent.

For comments and feedback contact: editorial@rttnews.com

Follow RTT