The major markets across Europe are expected to open mixed on Friday morning. Though the markets in Wall Street ended higher on Thursday on optimism that the initiatives of the US administration to combat recession will yield positive results, profit taking in Asian markets and weaker futures for the US market may hamper the sentiment of European investors. Economic data regarding personal consumption expenditure in the US might affect move the markets, as the European markets discounted favorable economic data released yesterday and ended in the positive territory.
On Thursday, the FTSEurofirst 300 index of pan-European blue chips closed 0.19% higher at 745 points, while the narrower DJ Stoxx 50 index rose 0.31% to 1,844 points.
Around Europe, the U.K.'s FTSE 100 index rose 0.64% to 3,925 and Germany's DAX index surged up 0.85% to 4,259, while France's CAC 40 index fell 0.05% to 2,892.
In the US, the Dow closed up 174.75 points or 2.3% at 7,925, the Nasdaq closed up 58.05 points or 3.8% at 1,587 and the S&P 500 closed up 18.98 points or 2.3% at 833.
The major markets in Asia opened higher and advanced further on optimism that U.S. administration might pull the economy out of recession sooner than expected. Profit taking at the second session dragged the markets lower.
On the economic front, fourth quarter GDP and current account details from the UK, and Eurozone industrial new orders for January from the Eurostat might impact the trading.
Among corporates, Dairy Crest Group plc (DCG.L) might witness action after it has announced the sale of 49% stake in Yoplait Dairy Crest for £63.5 million. The company said proceeds from the sales would be used to to repay debt, substantially increasing available headroom under banking covenants.
Dechra Pharmaceuticals Plc (DPH.L) said that it has signed an agreement to in-license technology to develop a novel product for the canine and feline veterinary pharmaceutical markets. As per the terms of the license agreement, Dechra has agreed to pay an initial fee of 0.5 million euros with a further 100 thousand euros payable upon technology transfer, which is expected to take place later this calendar year.
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