European Shares Seen Opening Up In Cautious Trade

(RTTNews) - European stocks are seen opening a tad higher on Thursday as concerns about Federal Reserve Chair Jerome Powell's potential ousting eased and China reaffirmed that it is normalizing ties with the European Union ahead of a China-EU leaders' summit slated for later this month.

U.S. stock futures dripped after President Donald Trump said he would impose a unified tariff rate on more than 150 countries and regions that are "not big" and "don't do that much business."

In another development, Trump reaffirmed his intention to impose a 25 percent tariff on Japanese imports, effective next month.

In economic news, trading later in the day may by impacted by reaction to the release of weekly jobless claims report, the latest reading on June's retail sales and last month's export and import price indexes.

In the euro area, June inflation and core inflation data are scheduled for release later in the day.

Asian markets were mostly lower ahead of earnings from heavyweight technology companies, including TSMC.

Traders also kept a close eye on escalating violence in southern Syria, where Israeli airstrikes targeted Syrian government forces for a second day amid clashes between Druze militias and government-aligned Bedouin fighters in Sweida.

The dollar was on the back foot as U.S. Treasury yields steadied after falling on Wednesday.

Gold dipped below $3,340 per ounce after Federal Reserve Bank of New York President John Williams vigorously defended the Fed's tight monetary policy approach.

Oil traded higher in Asian trade, snapping a three-day losing streak after data showed a sharper-than-expected drop in U.S. crude inventories, highlighting tight supply.

Overnight, U.S. stocks rose in volatile trading as President Trump acknowledged discussing firing Fed Chair Jerome Powell with Republicans but denied a letter had been drafted to do that, helping ease Fed independence fears. "I think it's highly unlikely, unless he has to leave for fraud," Trump said.

In economic news, U.S. producer prices were unexpectedly unchanged in June while industrial production rose in the month for the first time in four months, separate set of data revealed.

The narrower Dow rose half a percent while the S&P 500 and the tech-heavy Nasdaq Composite both edged up by 0.3 percent.

European stocks fell for a fourth consecutive session on Wednesday after disappointing earnings updates from the likes of ASML Holdings and Renault.

The pan European STOXX 600 dipped 0.6 percent. The German DAX slipped 0.2 percent, France's CAC 40 shed 0.6 percent and the U.K.'s FTSE 100 eased 0.1 percent.