European markets seen lower after Fed meeting, Italy in focus 

  • In Asia, equities were mostly lower on the back of a Federal Reserve meeting.
  • The Fed decided to keep rates unchanged but said that it expects “further gradual increases,” which pushed stocks slightly lower.

European equities are set to open lower on Friday morning as they continue to chase global market sentiment.

The FTSE 100 is seen down by 30 points at 7,110; the DAX 30 is seen off by 37 points at 11,490 and the CAC 40 is expected to open lower by 16 points at 5,115; according to IG.

In Asia, equities were mostly lower on the back of a Federal Reserve meeting. Stateside, the Fed decided to keep rates unchanged but said that it expects “further gradual increases,” which pushed stocks slightly lower. Higher interest rates tend to dent stocks as investors believe companies will have less room for dividends.

Back in Europe, there’s still a strong focus on earnings. Monte Dei Paschi, Allianz and Richemont are among the companies reporting in Europe.

Investors are also closely monitoring developments in Italy, after the European Commission said Thursday that Rome’s economic forecasts are not in line with its own calculations. Eurogroup President Mario Centeno is meeting Italy’s finance minister Giovanni Tria at 11.30 GMT.

Meanwhile, in Brexit news, the U.K. government is set to hold critical meetings during the weekend, as European Council President Donald Tusk said Thursday he hopes for a breakthrough within days.

On the data front, there will be balance of trade figures out in the U.K. at 9.30 am London time and GDP numbers also due at the same time.

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