European Factors-Shares to extend falls; U.S. data eyed

Fri Feb 5, 2010 1:45am EST

 LONDON, Feb 5 (Reuters) - European shares are set to extend the previous
session's sharp losses on Friday as weakness on Wall Street overnight and
worries over euro zone sovereign debt problems seen weighing on risk appetite. 
 Investors await a key U.S. jobs report from the United States later in the
day. Financial spreadbetters expected Britain's FTSE 100 .FTSE to open 18
points lower, or down 0.3 percent; Germany's DAX .GDAXI to open 13 to 14
points lower, or down 0.3 percent; and France's CAC 40 .FCHI to open 8 to 9
points lower, or down 0.2 percent.
 The pan-European FTSEurofirst 300 .FTEU3 index on top European shares fell
2.8 percent on Thursday, its lowest close since Nov. 30 and its biggest one-day
percentage fall in 10 weeks as worries over euro zone peripheral countries shook
investors' confidence.  
 On Wall Street, the Dow Jones industrial average .DJI briefly fell below
the crucial 10,000 mark as stocks suffered their worst losses in more than nine
months. In Asia, Japan's Nikkei average .N225 dropped more than 3 percent to
its lowest in seven weeks on Friday.
 Worries over euro zone peripheral countries' fiscal health is likely to
continue to weigh on financial markets. The U.S. dollar extended gains as
investor anxiety about sovereign debt in Greece, Portugal and Spain sparked a
sell-off in the euro and growth-linked currencies such as the Australian dollar.
 Investors will eye the U.S. non farm payrolls data at 1330 GMT for fresh
clues on the extent of economy recovery in the country. A Reuters survey
predicted non-farm payrolls grew 5,000 in January after a surprise 85,000 drop
in December. The unemployment rate, however, is expected to edge up to 10.1
percent in January from 10 percent. 
 Other macroeconomic data set for release on Friday are U.S. Economic Cycle
Research Institute's (ECRI) monthly inflation numbers at 1440 GMT. Also of
interest will be UK producer prices, at 0930 GMT, with both input and output
prices seen rising further January.
       
----------------------MARKET SNAPSHOT AT  0625 GMT----------------------  
                                  LAST        PCT CHG        NET CHG 
S&P 500                  .SPX    1,063.11      -3.11 %         -34.17 
NIKKEI                  .N225   10,057.09      -2.89 %        -298.89 
MSCI ASIA EX-JP .MIASJ0000PUS      441.55      -3.48 %         -15.92 
EUR/USD                  EUR=      1.3713      -0.09 %        -0.0013 
USD/JPY                  JPY=     89.59         0.66 %         0.5900 
10-YR US TSY YLD    US10YT=RR      3.612          --             0.00 
10-YR BUND YLD      EU10YT=RR      3.148          --            -0.01 
SPOT GOLD                XAU= $1,066.20         0.34 %          $3.60 
US CRUDE                 CLc1    $73.43         0.40 %           0.29 
-----------------------------------------------------------------------      
 
 * Nikkei sinks to two-month closing low; Toyota gains    [ID:nTOE61405H]
 * Dow dips below 10,000 mark on eurozone debt, jobs data [ID:nN04247591]
 * Asian shares slide; euro up on Swiss c.bank talk       [ID:nSGE61401D
 * TREASURIES-Slip in Asia, all eyes on jobs data         [ID:nTOE614028]
 * Oil rebounds from 2010 lows as dollar pares gains      [ID:nSGE61405Q]
 * Gold hovers atop 3-mth low; risk aversion remains      [ID:nTOE61402K]
 * Euro leaps after rumour of Swiss intervention          [ID:nTOE614043]
 * METALS-Shanghai copper slides 4 pct, LME extends       [ID:nSGE614051
 
 COMPANY NEWS:
 
 BRITISH AIRWAYS BAY.L
 The airline reports third-quarter numbers. 
 
 JULIUS BAER HOLDINGS AG (BAER.VX)
 The Swiss private bank posts FY net profit of 473 million Swiss francs,
hired 48 new client managers in 2009.
 
 BG GROUP (BG.L)
 The gas producer reports full-year results. 
 
 KESKO OYJ (KESBV.HE) 
 The Finnish retailer reports fourth-quarter figures. 
 
 (Reporting by Harpreet Bhal)

Related Quotes and News

Company
Price
Related News
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.