London (AFP) – European equities steadied Friday after modest gains in Asia, with caution prevailing ahead of a speech from US central bank chief Janet Yellen.
At about 1045 GMT, London, Paris and Frankfurt were flat, with investors uninspired in the absence of major European corporate or economic news.
Traders are now hoping for clues about the prospects of an imminent US rate hike when Federal Reserve chair Yellen makes a speech at Harvard University, after recent hints of an increase in June or July from Fed officials.
“Friday continued at an alarmingly dull pace this morning, though there is the chance for a bit of excitement from the US open later this afternoon,” noted analyst Connor Campbell at trading firm Spreadex.
He added: “There should be a bit more to chew on this afternoon, with the US serving up… GDP data, the revised University of Michigan consumer sentiment number and a speech from Yellen.”
A two-day global stocks rally showed signs of fatigue on Thursday as oil prices briefly breached $50 a barrel for the first time this year, before pulling back.
– G7 warns on Brexit –
Ahead of Yellen, markets digested comments from a Group of Seven summit.
A final communique from the G7 leaders emphasised economic growth was an “urgent priority” and highlighted growing international alarm over the possibility of a so-called Brexit as the UK prepares for a June 23 referendum on whether to leave the EU.
“Global growth is our urgent priority,” the G7 said, adding that growth remained “moderate and below potential”.
Leaders added that a Brexit would “reverse the trend towards greater global trade and investment and the jobs they create”, and that it was a “serious risk to growth”.
British Prime Minister David Cameron is campaigning for Britain to stay in the EU, with recent polls suggesting a widening lead for supporters of continued membership.
– Key figures around 1045 GMT –
London – FTSE 100: FLAT at 6,266.50 points
Frankfurt – DAX 30: FLAT at 10,273
Paris – CAC 40: FLAT at 4,511.70
EURO STOXX 50: UP 0.1 percent at 3,075.60
Tokyo: Nikkei 225: UP 0.4 percent at 16,834.84 (close)
Shanghai – Composite: DOWN 0.05 percent at 2,821.05 (close)
Hong Kong – Hang Seng: UP 0.9 percent at 20,576.77 (close)
New York – Dow: DOWN 0.1 percent at 17,828.29 (close)
Euro/dollar: DOWN at $1.1173 from $1.1194 on Thursday
Dollar/yen: DOWN at 109.71 yen from 109.76 yen
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