European Shares Seen Up As Investors Assess Tech Earnings

(RTTNews) - European stocks are likely to open higher on Friday, with tech stocks in focus after Taiwan Semiconductor Manufacturing, the world's largest contract chipmaker, posted record quarterly profit on AI demand and Netflix reported earnings that beat expectations on both the top and bottom lines.

The U.S. streaming giant also raised its full-year revenue and operating margin guidance, continuing a strong run that has propelled its shares to new highs.

U.S. stock futures edged higher after the White House said President Donald Trump remains in "excellent health." Trump's health was under scrutiny after reports of leg swelling and hand bruising in recent weeks.

Asian markets gave up early gains to turn mixed as finance ministers and central-bank governors from the Group of 20 economies ended their first day of talks in South Africa, with many of the officials expressing concern that the global economic outlook is becoming more uncertain as a result of series of U.S. tariffs.

The Japanese yen was weak and the country's 40-year government bond yield experienced a notable decline ahead of Upper House elections that might upend the political landscape in Japan.

The dollar dipped but was set for a weekly gain, buoyed by some solid U.S. economic data released overnight.

Gold was little changed as investors react to comments from several Federal Reserve officials.

Federal Reserve Governor Christopher Waller said the U.S. central bank should cut interest rates this month to support a labor market that is showing signs of weakness.

Fed Bank of San Francisco President Mary Daly reiterated that it's reasonable to expect two interest rate cuts before the end of the year.

Fed Governor Adriana Kugler said it's appropriate to keep rates steady "for some time," as tariffs start to boost prices.

Oil held a gain after drone attacks on Iraqi oil fields and recent data pointing to sustained market tightness.

In economic releases, current account figures from the euro area and producer price data from Germany are due later in the day. headlining a light day for the European economic news.

Across the Atlantic, trading may be impacted by reaction to reports on new residential construction, consumer sentiment and inflation expectations.

U.S. stocks advanced overnight as PepsiCo and United Airlines reported earnings that beat estimates and upbeat jobless claims and retail sales data portrayed economic resilience.

The tech-heavy Nasdaq Composite and the S&P 500 climbed 0.8 percent and half a percent, respectively to reach new record closing highs, while the narrower Dow gained half a percent.

European stocks halted a four-day losing streak on Thursday amid continued optimism over a potential EU-U.S. trade deal and positive earnings news.

The pan European STOXX 600 climbed 1 percent. The German DAX rallied 1.5 percent, France's CAC 40 surged 1.3 percent and the U.K.'s FTSE 100 added half a percent.