European markets set to slide, tracking global momentum

European markets set to slide, tracking global momentum
# 21 January 2022 18:55 (UTC +04:00)

European markets are set to tumble on Friday, tracking a global pullback for risk assets, APA reports citing CNBC.

Britain’s FTSE 100 is seen around 71 points lower at 7,508, Germany’s DAX is set to fall by around 190 points to 15,707, and France’s CAC 40 is expected to drop around 91 points to 7,100, according to IG data.

The expected opening losses come after sharp declines on Wall Street as rising rates continue to exert downward pressure on technology stocks by making future profits less attractive.

The declines were deepened by a plunge in Netflix shares after the company’s fourth-quarter earnings report showed a slowdown in subscriber growth.

U.S. stock futures indicate further losses at Friday’s open, while markets in Asia-Pacific also tumbled overnight.

Back in Europe, Britain’s GfK Consumer Confidence Index sank to -19 in January from -15 in December, its lowest reading since February 2021, as soaring inflation and the prospect of further interest rate hikes dampened the outlook.

An initial “flash” consumer confidence reading for the euro zone is expected on Friday afternoon. There are no major earnings due in Europe on Friday.

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THE OPERATION IS BEING PERFORMED