European equity markets expected lower after Wall Street downturn. The Eurostoxx 50 opens at 4,299.61 points (+0.73%), the CAC 40 at 7,194.16 points (+0.30%), the DAX 40 at 15,912.33 points (+0.65% ), the FTSE 100 at 7,585.01 points (-0.06%), the SMI at 12,560.70 points (+0.28%), the AEX at 778.26 points (+0.74%), the BEL 20 at 4,218.48 points (+0.18%), IBEX 35 at 8,814.60 points (+0.45%), DJIA at 34,715.39 points (-0.89%), Nasdaq at 14,154.02 points (-1.30%), the S&P 500 at 4,482.73 points (-1.10%) and the Nikkei 225 at 27,522.26 points (-0.90%).

Regarding exchange rates, the change from the close in New York indicates that EUR/USD opens at 1.1327 (+0.14%), EUR/JPY at 128.94 (-0.09%) and USD/JPY at 113.85 (-0.20%).

Chinese automaker Dongfeng Motor has sold 1.28% of the capital of Stellantis via an accelerated placement with institutional investors, the company announced in a document published Friday on the site of the Hong Kong Stock Exchange.

European equity markets are set to open sharply lower on Friday, following a sell-off on Wall Street overnight, a sign that investors remain concerned about the prospect of an economic slowdown and tighter monetary policy in central banks. At 7:10 a.m., the CAC 40 futures contract lost 102 points, or 1.4%, according to data from broker IG Markets. The DAX 40 contract was down 203 points, or 1.3%, and the FTSE 100 contract was down 86 points, or 1.1%.

Markets will be watching the intervention of Christine Lagarde, President of the European Central Bank (ECB), on Friday during a virtual meeting on the global economic outlook as part of the Davos forum. They will also pay attention to the Conference Board's leading indicators in the United States. In Asia, equity markets are moving lower on Friday. The Nikkei index of the Toyo Stock Exchange closed down 0.9%. At the end of the session, the Hang Seng index of the Hong Kong Stock Exchange lost 0.5% and the Shanghai Composite index fell back by 0.7%.

Yields on US government bonds fell on Friday morning as risk aversion prevailed. At 7:15 a.m., the ten-year Treasury bond rate lost 3.2 basis points, to 1.779%, while that of the two-year title fell by 0.7 basis point, to 1.024%. Yields climbed on Thursday and the two-year rate hit its highest level in a year, with investors' attention turning to the Federal Reserve's monetary policy meeting next week. At this meeting, the Fed is expected to lay the groundwork for an interest rate hike in March. Some investors are even considering the prospect of a half-percentage-point increase in its key policy rate rather than a quarter-point hike.

The dollar is down slightly on Friday morning but, according to Westpac, the greenback should continue to strengthen until the Fed's monetary policy meeting next week. Many elements are already taken into account, but a direct comparison between the USD Index and the yield spreads shows that the dollar has not yet integrated everything, adds Westpac.

Oil futures continue their decline on Friday morning. Crude prices closed slightly lower on Thursday, after the announcement of an unexpected increase in oil inventories in the United States, but the geopolitical risks weighing on the world supply made it possible to limit the decline in prices. At 7:25 a.m., the March contract on Brent North Sea oil sold 1.52 dollars, or 1.7%, at 86.86 dollars a barrel. The contract of the same maturity on light sweet crude oil (WTI) listed on the Nymex fell 1.55 dollars, or 1.8%, to 84 dollars a barrel.