Hannelore Foster | Bloomberg | getty images
LONDON – European shares are expected to open in negative territory on Thursday as investors digest the latest reports on the Iran war and await more earnings and central bank decisions.
of britain FTSE Germany’s index looks to open down 0.1% dex Down 0.7%, France’s cac 40 down 0.5% and Italy’s FTSE MIB Down 0.7%, according to IG data.
Global investors are keeping an eye on oil prices after Brent crude surged past $126 a barrel, a wartime high, following a report that the US military will brief President Donald Trump on possible action against Iran, raising fears that armed conflict could resume, and the blockade of Iranian ports will continue.
Axios reported The US Central Command was ready to present Trump with a plan for possible military action against Iran, it said, citing two sources with knowledge of the matter.
June futures for international benchmark Brent crude rose 6.84% to $126.10 a barrel by 12:22 a.m. ET Thursday, while U.S. West Texas Intermediate rose 3.14% to $110.24.
Central bank action will be in focus later, with the European Central Bank and the Bank of England both set to deliver their latest monetary policy decisions on Thursday.
Neither bank is expected to change interest rates, but given the ongoing war in Iran, their forward guidance will be closely watched.
Data releases from Europe are also in focus, with preliminary readings of euro zone GDP for the first quarter and April inflation to be published at 10am London time.
It’s another busy day for earnings schneider electric, unilever, BNP Paribas, glencore, Eng, DHL Group, Societe Generale, Crédit Agricole, volkswagen, standard Chartered, BASF, ferrovial, Erste Group Bank, ArcelorMittal, Danske Bank, Stellantis And Air France-KLMAmong others, all due to reports.
— CNBC’s Li Ying Shan contributed to this market report.
