European stocks are set for a mixed open today following upbeat economic data out of the China and the United States, while a spike in U.S. coronavirus infections tempers optimism.
Britain’s FTSE 100 is seen around 8 points higher at 6,248, Germany’s DAX is set to climb 12 points to 12,620 and France’s CAC 40 is expected to open around 9 points lower at 5,040, according to IG data.
European markets may struggle to capture some of the overnight momentum from Asia Pacific, where stocks edged higher after a survey showed that China’s services sector grew at its fastest pace in over a decade in June, according to Reuters.
This followed a broad rally late on Thursday after U.S. nonfarm payrolls grew by a record 4.8 million in June, outstripping expectations of a 3 million rise. The U.S. Labor Department also revealed Thursday that initial jobless claims rose by a greater-than-expected 1.427 million last week, however.
Market focus remains attuned to news of a resurgence in coronavirus cases stateside, with a Reuters tally showing that the U.S. reported more than 55,000 new cases on Thursday, a global daily record. Top White House infectious disease expert Dr. Anthony Fauci cautioned Thursday that the virus may have mutated to become more infectious.
Back in Europe, German car sales plunged 40% in June to a thirty year low, according to German newspaper Tagesspiegel. Meanwhile, British factories are increasingly expecting to lay off workers, a survey from sector group Make U.K. showed Friday, with 46% of manufacturers expecting to make redundancies within the next six months, rising from 25% in May.