European markets look likely to rise sharply as they begin trading on Friday.
The Italian MIB’s ascent is expected to be the steepest, with the index seen up 105 points at 23,773. Meanwhile the German DAX is also set for a rally, seen up 65 points at 13,344.
The U.K. FTSE and French CAC are expected to see more modest gains by comparison, with those indexes up 26 and 21 points respectively. The FTSE is anticipated to open at 7,637, while the CAC is seen at 5,497.
In terms of major economic data releases, the U.K. is to release its fourth quarter gross domestic product (GDP) growth figures at 9:30 GMT. The British economy grew just 0.4 percent in the third quarter of 2017, with Brexit causing a lack of enthusiasm for investment from businesses.
In Germany, Chancellor Angela Merkel is scheduled to meet Social Democratic Party leader Martin Schulz and other politicians as the curtain lifts on the latest round of coalition talks to form the next government.
Looking to corporate news, troubled South African retailer Steinhoff is holding a meeting with its European creditors. The firm owns a number of British merchants including Bensons for Beds and Poundland. It admitted to accounting irregularities in December which catalyzed an 85 percent slide in its shares, according to Reuters.
U.K. Prime Minister Theresa May met U.S. President Donald Trump at the World Economic Forum’s Annual Conference in Davos, Switzerland. Trump said that he and May have a “really great relationship.” Trump is to make his address at Davos on Friday at 13:00 GMT.
Meanwhile, British Finance Minister Philip Hammond said at the event that the U.K. and European economies would only diverge “very modestly” after Brexit, though he later clarified his comments on Twitter.
Rallies in major currencies made headlines yesterday as Trump told CNBC that “The dollar is going to get stronger and stronger,” while European Central Bank President Mario Draghi said that there were “very few chances” that the institution would change interest rates this year.
The U.S. is also set for key economic data releases Friday morning, including fourth quarter GDP growth and the Baker Hughes oil rig count.
Source: cnbc
European markets set for rally at open, Trump to address business leaders at Davos