{"id":65196,"date":"2025-10-10T05:40:22","date_gmt":"2025-10-10T05:40:22","guid":{"rendered":"https:\/\/www.pantheregroup.com\/2025\/10\/10\/european-shares-may-drift-lower-at-open\/"},"modified":"2025-10-10T05:40:22","modified_gmt":"2025-10-10T05:40:22","slug":"european-shares-may-drift-lower-at-open","status":"publish","type":"post","link":"https:\/\/www.pantheregroup.com\/2025\/10\/10\/european-shares-may-drift-lower-at-open\/","title":{"rendered":"European Shares May Drift Lower At Open"},"content":{"rendered":"
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European stocks are seen opening broadly lower on Friday as investors cope with heightened political uncertainty in France and await cues from the quarterly earnings season. <\/p>\n

Resisting pressure to call snap elections, French President Emmanuel Macron is seeking sixth prime minister in under two years, hoping his next pick will manage to steer a belt-tightening budget through France’s deeply fragments parliament. An announcement in this regard is expected by today evening. <\/p>\n

The U.S. Q3 earnings season kicked off on Thursday with better-than-expected numbers from Pepsi and Delta Airlines.<\/p>\n

Sino-U.S. tensions also remain on investors’ radar after China imposed export controls on rare earths and lithium, in a move to strengthen its position ahead of a possible summit between the countries’ two leaders in South Korea later in October.<\/p>\n

The Wall Street Journal reported that the Trump administration is not planning to impose tariffs on generic drugs from foreign countries, representing major scaling-back of pharma tariff plan.<\/p>\n

In economic releases, trading later in the day may be impacted by reaction to the University of Michigan’s preliminary readings on consumer sentiment and inflation expectations for October. <\/p>\n

Asian stocks were broadly lower this morning, pressured by some profit taking in the technology<\/span> sector. Seoul markets<\/span> bucked the weak trend as traders returned from holidays.<\/p>\n

The U.S. dollar headed for a strong week as the government shutdown looked set to extend into next week, delaying crucial jobs data that could affect the Federal Reserve’s monetary policy. <\/p>\n

Alternative jobs data from private firms have indicated a cooling U.S. labor market.<\/p>\n

Media reports suggest that the Bureau of Labor Statistics is calling back some employees to produce the Consumer Price Index for September. <\/p>\n

President Trump said Democrats are “using health<\/span> care as a cudgel” and again threatened to cut programs if the shutdown doesn’t end.<\/p>\n

The Argentine peso rebounded after the U.S. finalized a $20 billion economic support program and carried out a rare intervention in currency markets to prop up the currency.<\/p>\n

U.S. Treasurys were flat while gold was slightly lower below $4,000 an ounce after having fallen 2 percent on Thursday, the most since August. <\/p>\n

Oil extended declines after falling more than 1 percent in the previous session amid cooling tensions in the Middle East. <\/p>\n

Overnight, U.S. stocks ended slightly lower after a week of record-breaking gains. Caution crept in as IMF and JPMorgan Chase warned of potential market correction, and the U.S. government shutdown entered its ninth day with no end in sight.<\/p>\n

Meanwhile, with three weeks until the Federal Reserve’s next policy meeting, New York Federal Reserve President John Williams signaled he would be comfortable cutting rates again. <\/p>\n

On the contrary, Fed Governor Michael Barr leaned heavily into the risks of inflation. Fed Chair Jerome Powell provided no new policy updates.<\/p>\n

The tech-heavy Nasdaq Composite finished marginally lower, the S&P 500 gave up 0.3 percent and the Dow shed half a percent.<\/p>\n

European stocks fell from record levels on Thursday amid renewed concerns about the political situation in France. <\/p>\n

The pan-European Stoxx 600 dropped 0.4 percent. The German DAX edged up marginally, while France’s CAC 40 slid 0.2 percent and the U.K.’s FTSE 100 dipped 0.4 percent. <\/p>\n<\/p>\n<\/div>\n