European Shares Seen Lower As Yields Jump To Multi-year Highs

(RTTNews) - European stocks are seen opening a tad lower on Friday as investors keep an eye on rising bond yields and weigh the risks of recession.

U.S. stock futures were slightly lower after social media company Snap reported disappointing revenue figures and appliance maker Whirlpool cut its outlook on full-year earnings.

Asian markets traded mostly lower, though Chinese shares edged up slightly ahead of the highly anticipated decision that President Xi Jinping would secure an unprecedented third term to rule the world's second-largest economy.

The dollar extended gains while gold was on track for its second weekly fall after U.S. Treasury yields hit their highest levels since the Great Recession on hawkish Fed comments.

Oil prices rose slightly in Asian trade on concerns about tight supplies. Media reports suggesting that Beijing is considering reducing the visitor quarantine period from 10 days to seven days also gave rise to hopes for demand recovery.

Public sector finances and retail sales data from the U.K. are due later in the session, headlining a light day for the European economic news.

U.K. consumer sentiment unexpectedly improved in October despite soaring inflation and political uncertainty, survey results from the market research group GfK showed earlier today. The consumer confidence index rose to -47 in October from -49 in September.

U.S. stocks ended in the red overnight and benchmark Treasury yields extended their climb after Philadelphia Federal Reserve President Patrick Harker said that rate hikes will continue "for a while."

Another batch of upbeat earnings news from big-name companies like IBM Corp. and AT&T helped to cap the downside to some extent.

The Dow dipped 0.3 percent, the S&P 500 shed 0.8 percent and the tech-heavy Nasdaq Composite declined 0.6 percent.

European stocks reversed early losses on Thursday as British Prime Minister Liz Truss resigned, giving her the shortest tenure in British history.

The pan European Stoxx 600 gained 0.3 percent. The German DAX inched up 0.2 percent, France's CAC 40 index climbed 0.8 percent and the U.K.'s FTSE 100 added 0.3 percent.