Investing.com - European stocks opened lower on Friday, despite political tensions in Italy and even as ongoing U.S. budget concerns continued to weigh on market sentiment.
During European morning trade, the EURO STOXX 50 dipped 0.02%, France’s CAC 40 edged down 0.11%, while Germany’s DAX 30 eased 0.09%.
In Italy, Prime Minister Enrico Letta said he would meet President Napolitano on Friday to discuss threats made by Silvio Berlusconi's center-right party that they will resign if their leader was expelled from parliament due to a conviction for tax fraud.
Meanwhile, U.S. budget concerns persisted after Republican leaders in the U.S. House of Representatives refused on Thursday to give in to President Barack Obama's demand for straightforward bills to run the government beyond September 30 and to increase borrowing authority to avoid a default.
Congress must reach an agreement on the budged debate before October 1 to prevent a government shutdown that could involve federal employees facing unpaid temporary leave and a delay in the payment of military personnel.
Financial stocks were mixed, as French lenders BNP Paribas and Societe Generale added 0.06% and 0.23%, while Germany's Deutsche Bank slipped 0.18%.
Among peripheral lenders, Spanish banks Banco Santander and BBVA lost 0.01% and 0.19% respectively, while Italy's Intesa Sanpaolo gained 0.31%.
Elsewhere, Bloomberg reported that due to a rising deficit and shrinking reserves, Alitalia's board is forced to seek fresh capital, estimated at at least EUR100 million.
In London, FTSE 100 slipped 0.26%, led by a shapr loss in the Royal Bank of Scotland shares, down 2.50%.
Other financial stocks were mixed, as Barclays shed 0.79%, while Lloyds Banking and HSBC Holdings rose 0.07% and 0.23%.
In the mining sector, stocks were also mixed. Glencore Xstrata edged up 0.08% and Polymetal rallied 1.91%, while BHP Billiton and Rio Tinto retreated 0.85% and 0.97% respectively.
In the U.S., equity markets pointed to a moderately lower open. The Dow Jones Industrial Average futures pointed to a 0.07% loss, S&P 500 futures signaled a 0.15% fall, while the Nasdaq 100 futures indicated a 0.02% dip.
Also Friday, official data showed that French consumer spending fell 0.4% in August, confounding expectations for a 0.1% rise, after a 0.4% increase the previous month.
Later in the day, Germany was to produce preliminary data on consumer inflation. The U.S. was to release revised data on consumer sentiment and inflation expectations from the University of Michigan, as well as data on personal income and expenditure.
During European morning trade, the EURO STOXX 50 dipped 0.02%, France’s CAC 40 edged down 0.11%, while Germany’s DAX 30 eased 0.09%.
In Italy, Prime Minister Enrico Letta said he would meet President Napolitano on Friday to discuss threats made by Silvio Berlusconi's center-right party that they will resign if their leader was expelled from parliament due to a conviction for tax fraud.
Meanwhile, U.S. budget concerns persisted after Republican leaders in the U.S. House of Representatives refused on Thursday to give in to President Barack Obama's demand for straightforward bills to run the government beyond September 30 and to increase borrowing authority to avoid a default.
Congress must reach an agreement on the budged debate before October 1 to prevent a government shutdown that could involve federal employees facing unpaid temporary leave and a delay in the payment of military personnel.
Financial stocks were mixed, as French lenders BNP Paribas and Societe Generale added 0.06% and 0.23%, while Germany's Deutsche Bank slipped 0.18%.
Among peripheral lenders, Spanish banks Banco Santander and BBVA lost 0.01% and 0.19% respectively, while Italy's Intesa Sanpaolo gained 0.31%.
Elsewhere, Bloomberg reported that due to a rising deficit and shrinking reserves, Alitalia's board is forced to seek fresh capital, estimated at at least EUR100 million.
In London, FTSE 100 slipped 0.26%, led by a shapr loss in the Royal Bank of Scotland shares, down 2.50%.
Other financial stocks were mixed, as Barclays shed 0.79%, while Lloyds Banking and HSBC Holdings rose 0.07% and 0.23%.
In the mining sector, stocks were also mixed. Glencore Xstrata edged up 0.08% and Polymetal rallied 1.91%, while BHP Billiton and Rio Tinto retreated 0.85% and 0.97% respectively.
In the U.S., equity markets pointed to a moderately lower open. The Dow Jones Industrial Average futures pointed to a 0.07% loss, S&P 500 futures signaled a 0.15% fall, while the Nasdaq 100 futures indicated a 0.02% dip.
Also Friday, official data showed that French consumer spending fell 0.4% in August, confounding expectations for a 0.1% rise, after a 0.4% increase the previous month.
Later in the day, Germany was to produce preliminary data on consumer inflation. The U.S. was to release revised data on consumer sentiment and inflation expectations from the University of Michigan, as well as data on personal income and expenditure.