European stocks are likely to open higher on Friday after U.S. markets ended well off their day’s lows overnight following reports that the Federal Reserve might consider easing the pace of rate increases.
The Dow fell by nearly 800 points to its lowest intraday level in over a month before ending the day down by just 79.40 points or 0.3 percent at 24,947.67. The S&P 500 edged down 0.2 percent while the tech-heavy Nasdaq Composite rose 0.4 percent.
Asian shares inched higher, even as underlying sentiment remained cautious on concerns over fierce U.S.-China trade friction.
The dollar held flat ahead of the Labor Department’s closely watched monthly employment report for November due tonight.
U.S. employment is expected to increase by 205,000 jobs in November after an increase of 250,000 jobs in October. The jobless rate is expected to hold at 3.7 percent.
Gold held near five-month high while U.S crude futures extended declines after ending down 2.7 percent on Thursday, as OPEC ended talks without a deal on oil production cuts for the first time in nearly five years.
The oil cartel, including Russia, will meet again today to thrash out an agreement on oil production cuts.
The British pound rose against major rivals after reports that Prime Minister Theresa May has dismissed the idea of a second referendum.
European markets tumbled on Thursday to log their worst single-day loss in 2 1/2-years amid fears of slowing global growth, falling oil prices and skepticism about the potential for a long-term trade agreement between the U.S. and China.
The pan-European Stoxx Europe 600 index nosedived 3.1 percent. The German DAX plunged 3.5 percent, France’s CAC 40 index plummeted 3.3 percent and the U.K.’s FTSE 100 lost 3.2 percent.
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