European Shares Seen Tad Higher Amid Vaccine Hopes

(RTTNews) – European stocks look set to open a tad higher on Friday after China said it has agreed to hold talks with U.S. officials soon to review progress on their preliminary deal.

However, the Trump administration reportedly declined to acknowledge any plans to meet with China over the Phase 1 trade deal.

There is some good news on the vaccine front as Pfizer Inc. and BioNTech SE said the Covid-19 vaccine they are jointly developing is on track to be submitted for regulatory review as early as October, assuming clinical success.

Asian markets traded mostly higher, while the dollar edged lower after the release of disappointing data. Gold rose but held below $2,000 an ounce.

Oil edged higher and remained on track for a third weekly gain after an OPEC+ internal report said that oil demand is forecast to fall by 9.1 million barrels per day (bpd) in 2020, a 100,000 drop from its previous forecast.

Flash Purchasing Managers’ survey data from euro area and retail sales figures from the U.K. are due later in the session, headlining a busy day for the European economic news.

Across the Atlantic, trading may be swayed by reaction to the National Association of Realtors’ report on existing home sales in the month of July.

U.S. stocks rose overnight as gains in technology stocks outweighed downbeat jobless claims data.

The tech-heavy Nasdaq Composite rallied 1.1 percent to reach a fresh record closing high, while the Dow edged up 0.2 percent and the S&P 500 rose 0.3 percent.

European markets tumbled on Thursday after the most recent FOMC policy meeting minutes struck a pessimistic tone over the U.S. economic recovery prospects.

The pan-European Stoxx Europe 600 index fell 1.1 percent. The German DAX lost 1.1 percent, France’s CAC 40 index declined 1.3 percent and the U.K.’s FTSE 100 plunged 1.6 percent.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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