FX.co ★ European Markets Head for Lower Open

European equity markets are poised for a decline at the opening of trade on Friday. This pullback follows a period of record highs as global sentiment dims due to lower expectations for a December interest rate cut by the US Federal Reserve, brought on by hawkish statements from policymakers. Investors remain wary of the inflated valuations of AI and the broader technology sector, a concern that initially led to a shift towards more fairly valued sectors before escalating into a more extensive selloff. In Europe, market participants will closely examine the latest data on the Eurozone's GDP, employment, and trade balance, along with French inflation figures for October. On the corporate front, several companies, including Allianz, Siemens Energy, Swiss Re, and Rolls Royce Holdings, are scheduled to release their earnings. In premarket trading, futures for the Euro Stoxx 50 and Stoxx 600 indices dipped by 0.3% and 0.4%, respectively.