European Shares Likely To Drift Lower On Virus Worries
European stocks are seen opening lower on Monday amid signs of growing inflationary pressures and concerns that a surge in coronavirus cases will have a dampening effect on the fragile global economic recovery.
Asian markets fell broadly as rising COVID-19 infections regionally and concerns surrounding the slow vaccine rollout spurred risk aversion.
The dollar held firm while gold edged up as benchmark 10-year Treasury yields dropped to a near two-week low.
The British pound held steady as England lifted most social curbs. Oil prices fell by more than $1 a barrel after OPEC+ agreed to boost production into 2022.
Amid a quiet day ahead on the economic calendar, COVID-19 news updates and central bank chatter may sway sentiment.
The European Central Bank meets on Thursday just two weeks after agreeing on its first strategic overhaul in almost two decades.
U.S. stocks ended notably lower on Friday, as better-than-expected earnings reports were offset by inflation worries and mixed retail sales and consumer sentiment data.
The Dow gave up 0.9 percent, while both the S&P 500 and the tech-heavy Nasdaq Composite ended down around 0.8 percent.
European markets also fell on Friday amid lingering worries about a surge in coronavirus cases worldwide.
The pan European Stoxx 600 eased 0.3 percent. The German DAX declined 0.6 percent, France’s CAC 40 index dropped half a percent and the U.K.’s FTSE 100 slid 0.1 percent.