Futures on major U.S. stock indices point to lower opening on Friday as jitters over the situation in Egypt and declines in European markets weighed on the sentiment.

Futures on the S&P 500 are down 0.40 percent, futures on the Dow Jones Industrial Average are down 0.32 percent and Nasdaq100 futures are down 0.31 percent.

European stock markets fell, led by declines from Nokia after it announced a strategic alliance with Microsoft Corp. Markets are currently trading lower with FTSE 100 down by 13.62 points, DAX30 down by 13.15 points and CAC 40 down by 37.74 points.

Embattled Egyptian President Hosni Mubarak said he has a framework to provide for a peaceful transition to a new regime at the September elections, but that he will remain in power till then.

Shares of Nokia Corp. (NYSE:NOK) plunged 8.18 percent to $9.99 in pre-market trading session, following its strategic alliance with Microsoft Corp.

On the economic front, trade balance for the month of December will be released before markets open. The trade deficit is expected to widen to $40.2 billion compared to $38.3 billion reported in November.

Michigan Consumer Sentiment Index, which measures the level of consumer confidence in economic activity, is expected to edge slightly higher to 75.50 from previously reported estimate of 74.20.

On Thursday, US stocks ended narrowly mixed, amidst much speculation that Egyptian President Hosni Mubarak would voluntary resign from his office. (He later announced that will stay on until September elections).

The euro declined 0.65 percent to 1.3514 against the dollar and the yen gained 0.46 percent against the greenback.

Crude oil futures advanced 0.31 percent to $87.00/barrel and gold futures fell 0.15 percent.