European Shares Seen Slightly Higher After Thursday's Selloff

(RTTNews) - European stocks are likely to open a tad higher on Friday, after having suffered heavy losses in the previous session on concerns about hawkish central banks.

Asian markets followed Wall Street lower, with benchmark indexes in Australia, South Korea and Hong Kong falling around 1 percent.

Japanese household spending data disappointed and Samsung Electronics reported its worst decline in quarterly revenue since at least 2009, adding to the gloomy mood.

The 10-year U.S. Treasury yield jumped above 4 percent and the 2-year yield hit the highest level since 2007, as a resilient and tight U.S. jobs market fanned fears that the Federal Reserve might need to go further in its aggressive fight against inflation.

The dollar held in a tight range ahead of the U.S. monthly jobs report due later in the day, which could offer additional clues on the economic and rate outlook.

Oil was on track for a second weekly gain amid signs of supply tightness while gold headed for a fourth weekly loss on concerns about potential interest rate hikes by central banks, including the Fed, ECB and the Bank of England.

U.S. stocks fell notably overnight as upbeat private payrolls and service sector data added to concerns about the outlook for interest rates following Wednesday's hawkish Federal Reserve minutes.

The Dow lost 1.1 percent to log its biggest single day fall since May 2, while the S&P 500 and the Nasdaq Composite both shed around 0.8 percent.

European stocks tumbled on Thursday as bond yields spiked on fears of more interest-rate hikes from central banks.

The pan European STOXX 600 gave up 2.3 percent. The German DAX plunged 2.6 percent, France's CAC 40 plummeted 3.1 percent and the U.K.'s FTSE 100 slumped 2.2 percent.