European Benchmarks Seen Positive At Open

(RTTNews) - Markets in Europe are expected to open on a positive note on Monday amidst hawkish comments from Fed officials and pending economic data releases from China. Earnings updates from the corporate sector are expected to further sway sentiment.

Wall Street had closed on a negative note on Friday as a strong set of earnings and an unexpected rise in consumer sentiment triggered fears of further rate hikes by the Fed. The Nasdaq Composite shed 0.35 percent to close at 12,123.46 whereas the Dow Jones Industrial Average lost 0.42 percent to finish trading at 33,886.47.

Sentiment was however positive at the European bourses amidst positive earnings updates from the region as well as the U.S. Markets in the region closed higher on Friday led by Switzerland's SMI that added 0.75 percent. The pan-European Stoxx-600 gained 0.58 percent. France's CAC 40 added 0.52 percent whereas Germany's DAX had strengthened 0.50 percent. Gains in U.K.'s FTSE 100 were more modest at 0.36 percent. Current indications from the European stock futures imply a positive sentiment at play. The DAX Futures (Jun) is currently trading 0.06 percent higher. The FTSE 100 Futures (Jun) is currently trading 0.09 percent higher. The SMI Futures (Jun) had closed 0.82 percent higher on Friday. The CAC 40 Futures (May) had closed 0.19 percent higher, and the pan-European Stoxx 50 Futures (Jun) had closed 0.12 percent higher on Friday.

American stock futures are trading in mildly positive territory. The US 30 (DJIA) is up 0.15 percent whereas the US500 (S&P 500) is 0.17 percent higher.

Asian stock markets are trading mixed ahead of release of key economic data from China. China's Shanghai Composite has rallied close to a percent after People's Bank of China held rates steady. Hong Kong's Hang Seng has also added 0.62 percent. Australia's S&P ASX 200 has added 0.16 percent whereas New Zealand's NZX 50 has gained 0.15 percent. Japan's Nikkei 225 has edged up 0.02 percent. South Korea's KOSPI has edged 0.04 percent lower. India's Nifty 50 has however shed more than a percent. The Dollar Index (DXY), a measure of the Dollar's strength relative to six currencies, rebounded from one-year-lows amidst strong earnings updates in the U.S. and renewed rate hike fears. DXY has increased to 101.64, up 0.09 percent on an overnight basis. The EUR/USD pair has decreased 0.12 percent to 1.0987 whereas the GBP/USD pair has lost 0.02 percent to trade at 1.2411.

Gold Futures for June settlement are trading almost flat at $2,017.25 per troy ounce. The previous close was at $2,015.8.

Crude prices hovered close to the flatline amidst renewed rate hike fears from the Fed and anxiety ahead of release of GDP and other economic data from China. Brent Crude Futures for June settlement has increased 0.14 percent to $86.43 whereas WTI Crude Futures for June settlement has increased 0.12 percent to $82.53.

No major economic data releases are scheduled for the day from the region. However, speeches by several ECB officials including President Lagarde would be keenly watched. Also, Sir Jon Cunliffe of the Bank of England would be delivering the keynote speech at the Innovate Finance Global Summit on Monday.

Major earnings updates due from the region on Monday are Exor, Fonciere Lyonnaise, Luzerner Kantonalbank, Sulzer, Virbac, Bossard Holding, Playtech and Ashmore Group.