European markets set to open mixed, oil prices extend gains
European markets are expected to open mixed Thursday as investors await the latest batch of corporate earnings and react to strong gains in oil prices.
The FTSE 100 is set to open 14 points lower at 7,373; the DAX is on track to open down 5 points at 12,749; while the CAC 40 is expected to open higher by around 6 points at 5,398.
Oil prices extended their more than 3 percent gains overnight after an abrupt fall in U.S. inventories combined with support from both Algeria and Iraq for OPEC to extend its production cuts. Brent was trading firmly over $50 a barrel shortly before the European open.
On the earnings front, Credit Agricole, Telefonica, Maersk Group and BT are among the major companies expected to report first-quarter results Thursday.
Central bank governors and finance ministers from the Group of Seven (G-7) will meet in the city of Bari, Italy from Thursday to Saturday.
The official agenda focuses on inequality, tax laws, cybersecurity and preventing the funding of terrorism. Europe, Canada and Japan will also hope the meeting can shed some light regarding U.S. President Donald Trump’s direction on key policies.
Meanwhile, the Bank of England is poised to reveal its latest decision on interest rates while also publishing its latest economic forecasts Thursday.
Analysts do not expect a change to rates though are divided over the message the U.K.’s central bank will likely send to investors given rising inflation figures and signs of a slowing economy.
Elsewhere, the European Commission will also publish its Spring economic forecasts for gross domestic product (GDP), inflation, employment and public finances on Thursday.
Source: CNBC
