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European stocks set for slightly lower open as markets track omicron, U.S. data

Soegeefx AppsEU MarketEuropean stocks set for slightly lower open as markets track omicron, U.S. data

European markets are set for a tepid open on Friday as renewed concerns about the omicron Covid-19 variant continue to weigh, while investors await key U.S. inflation data later in the day.

Britain’s FTSE 100 is seen around 29 points lower at 7,292, Germany’s DAX is set to fall around 70 points to 15,569 and France’s CAC 40 is expected to shed around 30 points to 6,978, according to IG data.

The U.S. Labor Department is set to release November’s consumer price index reading on Friday afternoon in Europe. Global markets will be closely watching the reading for indications as to how the Federal Reserve may react. Estimates suggest inflation could have hit its highest year-over-year level since 1982.

Data on Thursday showed U.S. jobless claims  hitting their lowest rate since 1969 last week, as 184,000 people filed new unemployment insurance claims, with the labor market continuing to tighten.

Markets have been reacting throughout the past couple of weeks to comments and research into the transmissibility and severity of the new omicron Covid variant, with a number of major economies now implementing tighter containment measures.

U.S. futures were little changed in early premarket trade on Friday, after investors pulled back from the rebound earlier in the week and switched focus to upcoming inflation prints.

Stocks in Asia-Pacific id broadly declined on Friday as investors opted for caution ahead of the data, while keeping an eye on news about the omicron variant.

On the data front in Europe, Italian, British and Spanish industrial production figures for October are due Friday morning. The U.K. also releases October’s GDP growth, manufacturing production, construction output and trade balance readings.

German final inflation figures for November are also due, and European investors may have one eye on speeches from ECB President Christine Lagarde and other top policymakers throughout the morning.

Source: CNBC

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