European stocks are set to open flat Friday with liquidity set to be low due to the shortened session on Wall Street after the Thanksgiving holiday.
The FTSE 100 is seen 1 point lower at 6,827; the DAX is set to open 3 points lower at 10,686 and the CAC should begin 4 points higher at 4,546.
U.S. markets will re-open Friday but only for half day, continuing to limit the available amount of liquidity.
The Russian oil and gas firm Tatneft is reporting its latest earnings figures on Friday. Meanwhile, the European Union is considering a “post-Brexit transition deal” once Prime Minister Theresa May invokes “Article 50”. According to Sky News, the EU wants a three-tier approach for the upcoming Brexit negotiations.
On the data front, the U.K. will see the release of its latest business sentiment and final gross domestic product (GDP) reading for the second quarter of this year at 9.30 a.m. London time.
Asia markets were positive on Friday, amid a lack of cues from U.S. markets, which were shut Thursday for the Thanksgiving holiday.
“There’s a lot of repositioning,” in the wake of Donald Trump’s surprise election win on November 8, Herald Van Der Linde, head of equity strategy for Asia Pacific, at HSBC, told CNBC’s “Squawk Box” on Friday.
“We saw a lot of money coming in over the course of this year into emerging markets,” he noted, estimating that around 25 percent of that money had flowed back out since the U.S. election result. “There could be a little further to go,” he said, but added that he believed the region’s fundamentals were sound and there could be a buying opportunity.
Australia’s ASX 200 closed up 0.41 percent, or 22.721 points, at 5,507.8 after initially opening flat. But the benchmark’s gains were capped by the all ordinaries gold sub-index, which was down by 2.13 percent.
BHP Billiton climbed 2.28 percent to A$26.50 a share. The Australian miner announced early Friday it had approved $181 million to fund the compensation programs at its Samarco joint venture in Brazil.
Explorer Top End Minerals surged 121.43 percent to $0.062 a share, after it announced it acquired a 60 percent interest in Myanmar’s Cornerstone Resources.
In Japan, the Nikkei 225 wavered toward the end of the session, but finished up 0.26 percent, or 47.81 points, at 18,381.22, while the Topix closed up 0.31 percent, or 4.57 points, at 1,464.53.
The dollar rose to an 8-month high against the yen on Friday, lifted by U.S. bond yields which resumed their rise in Asia after the Thanksgiving break shut markets in the United States.
The dollar was up 0.3 percent at 113.730 yen after hitting an 8-month high of 113.800 yen. It was on track to rise 2.6 percent on the week.
The euro nudged down 0.1 percent to $1.0545 and towards $1.0518, its lowest since March hit in the previous day. The common currency was poised to lose 0.3 percent this week.
“We kept expecting the dollar to adjust lower during its bull phase but that has not happened yet, since there has been no real opportunity for selling to take hold,” said Shin Kadota, chief Japan FX strategist at Barclays in Tokyo.
“How far the dollar can run will be mostly up to how much more U.S. yields can rise,” Kadota said, adding that there were not many factors to derail the dollar’s momentum for now though the turmoil in emerging markets needed watching.
The 10-year U.S. Treasury note yield rose about 3 basis points to 2.382 percent from the previous close on Wednesday.