European markets seen lower ahead of more Fed comments

European equities are seen lower on Thursday morning as investors watch out for fresh comments from Fed Chairman Jerome Powell.

The FTSE 100 is seen down by 53 points at 7,184; the German DAX is expected to open off by 90 points at 12,342 and the CAC 40 is seen down by 20 points at 5,290; according to IG calls at about 3.30 a.m. London time.

In Asia, stocks started the month lower continuing negative sentiment on expectations of a more hawkish Fed. Following comments from Powell on Tuesday, markets have started to price in a higher interest rate path in the U.S., which is set to ultimately impact firms’ costs.

The recently-appointed chairman is due to speak again on Thursday – a speech that will be carefully monitored by market players.

In Europe, investors will continue to monitor earnings and data. AB Inbev, Peugeot, WPP, Zalando and Bovis Homes are set to report Thursday morning.

In other corporate news, Reuters reported unnamed sources stating that the European Commission is set to approve Bayer’s bid for Monsanto, in what’s set to become the world’s largest integrated pesticides and seeds firm.

Elsewhere, U.S. regulators have asked Deutsche Bank and other two lenders for information on their relationship with President Donald Trump’s son-in law Jared Kushner, according to Reuters.

In terms of data, there will be unemployment numbers due in the euro zone at 10 a.m. London time and mortgage approvals due in the U.K. at 09.30 a.m. London time. Source: CNBC

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