Member access

4-Traders Homepage  >  News


Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

European Stocks Seen Opening Higher, Dollar Weak

07/26/2013 | 02:56am US/Eastern

Europe's financial markets are opening with the dollar weaker but shares expected to start strongly after a recovery in New York stocks prompted by an article in The Wall Street Journal reporting that the Federal Open Market Committee, at its meeting next week, is likely to discuss whether to refine or revise its "forward guidance," the words used to describe its intentions for the next few years.

"The Federal Reserve is on track to keep its $85 billion-a-month bond-buying program in place at its policy meeting next week, but officials will debate changes to the way the central bank describes its plans for the program and for short-term interest rates," wrote Jon Hilsenrath in the Journal.

However, Europe's markets are likely to tread cautiously ahead of an exceptionally busy week for central bank policy meetings and economic data.

"The U.S. employment report, U.S. GDP and monetary policy decisions by the Fed, European Central Bank, Bank of England and Reserve Bank of India will be on top of the agenda," wrote researchers at ABN Amro in a note to clients.

"In the case of stronger-than-expected U.S. data, the Fed will likely further communicate to financial markets that interest rates will not be raised in the foreseeable future in an attempt to avoid U.S. bond yields moving much higher," they added.

Ahead of the stock markets' opening, Capital Spreads is calling the FTSE 100 up 26 at 6614, the DAX up 54 at 8353 and the CAC-40 up 28 at 3984. In the currency markets, the dollar is mostly weaker than in late New York business Thursday. German Bund futures have opened higher but crude oil futures are lower and the gold price is steady.

"Despite the positive start [for stocks] though, gains may be capped and traders may tread cautiously going into the weekend as they look ahead to next week, which sees a raft of key central bank meetings, speeches and releases and a host of sentiment-deciding economic data," wrote Jonathan Sudaria, a dealer at Capital Spreads, in a client note.

This session, economic data releases include French consumer confidence and the final reading of the University of Michigan's measure of consumer confidence in the U.S.

Write to Martin Essex at or on Twitter @MartinEssexDJN

Recommend :
React to this article
Latest news
Date Title
1m ago SCHWEIZERISCHE NATIONALBANK : Monetary policy assessment of 18 September 2014
1m ago KEPPEL : SGXNET: Request for Trading Halt
1m ago AVEVA : Leading Russian water company selects AVEVA for advanced 3D modelling
1m ago DAILY MAIL AND GENERAL : *exane bnp cuts daily mail price target to 950 pence - 'outperform'
1m ago HARDIDE : Says Full-Year Results Are Set To Beat Market Forecasts
2m ago TATE & LYLE : *exane bnp raises tate & lyle to 'neutral' ('up') - price target 700 (590) pence
4m ago MARIANA RESOURCES : Shares Rise On Acquisition Of Canada's Aegean Metals
5m ago SCHWEIZERISCHE NATIONALBANK : Franc Advances After SNB Decision
5m ago INFOSYS : Expands Partnership with Microsoft to Accelerate Adoption of Cloud and Analytics Offerings
5m ago FEDERAL TRANSPORT MINISTER DOBRINDT : "Everything That is Technically Feasible is Being Shown by the Industry at InnoTrans"
Latest news
Hot News 
DIXONS CARPHONE : Phones 4u buyers still sought, but 800 jobs safe
10 OF THE BEST ; Sports bras
INFRANOR INTER : 18.09.14 - The Boards of Directors of Perrot Duval and Infranor sign a merger agreement
DEUTSCHE POST : Sep 17, 2014: DHL expands multimodal rail service in China
TESSENDERLO : Chemie proposes a rights offering
Most Read News
1d ago APPLE : Bug delays Apple's HealthKit availability on iOS 8
1d ago JOHNSON & JOHNSON : First Bellwether Trial in the DePuy Orthopaedics Pinnacle Hip Device Litigation Continues in its Third Week, Parker Waichman LLP Comments
1d ago AECOM TECHNOLOGY : Hotel design: why is localization important for Int'l brands?
1d ago CERUS : Submits IDE Supplement to Make INTERCEPT Platelets Available Pre-Approval in U.S. Areas at Risk from Outbreaks of Chikungunya and Dengue
1d ago UNITED TECHNOLOGIES : Carrier : Wins Patent Infringement Case for Innovative Infinity® Technology
Most recommended articles
9m ago China sticks to targeted support as leaders work on reform
15m ago BAYER : to float plastics, focus on life sciences
17m ago BANK OF CYPRUS PUBLIC : sells UK loan portfolio
17m agoDJCURRENCIES : Dollar Extends Gains; Pound Wobbles As Scots Go To Polls
19m ago PETRA DIAMONDS : may pay dividend sooner as core profit jumps
Dynamic quotes