European Stock Markets Set For Flat Open With Stimulus Hopes

European stock markets are heading for a muted open today as investors monitor prospects for fiscal and monetary stimulus, along with key data from the euro zone. Britain’s FTSE 100 is set to open roughly flat at 6,715, Germany’s DAX is expected to inch around 22 points lower to 13,885 and France’s CAC 40 is seen falling around 14 points to 5,577, according to IG data.

European stocks are set for a lackluster handover from Asia-Pacific, where markets mostly declined Friday as investors took profits following a strong spell fueled by hopes of substantial economic stimulus from new U.S. President Joe Biden’s administration.

Investors also have an eye out for new coronavirus restrictions in China. The country reported 103 new Covid-19 infections on Friday, down from 144 the previous day, while Beijing launched mass testing in parts of the city.

Wall Street again saw the Nasdaq and S&P 500 notch record highs on Thursday, buoyed further by indications of a robust earnings season for the country’s major communications and tech stocks. U.S. stock futures are pointing to a slightly lower open on Friday, however.

In vaccine news, Pfizer and BioNTech have agreed to supply the World Health Organization’s COVAX access scheme aimed at lower-income countries, Reuters reported Thursday citing two sources familiar with the deal.

On the data front, January’s Markit flash PMI (purchasing managers’ index) readings for the euro zone are expected at 9 a.m. London time, and could give an indication of the bloc’s economic resilience as many of its major economies returned to lockdown measures over the past month.

European Stock Markets Set For Flat Open With Stimulus Hopes via @MasterMindUpdate
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