RTRS : Europe Factors-Shares set to dip; automakers in focus
PARIS, Aug 21 (Reuters) - European equities were seen dipping on Friday,
trimming the previous session's gains and mirroring losses in Tokyo, with shares
of resource-related stocks set to feel the pinch of retreating commodity prices.
By 0619 GMT, futures for the DJ Euro Stoxx STXEc1, for Germany's DAX
FDXc1 and for France's CAC FCEc1 were down between 0.3 percent and 0.4
percent. Earlier, financial spreadbetters expected Britain's FTSE 100 .FTSE to
open 22 to 31 points lower, or as much as 0.7 percent.
Shares of automakers will be in the spotlight after Japan's Nikkei average
.N225 fell 1.4 percent, dragged lower by slumping auto shares ahead of the end
of a U.S. rebate programme. The popular "cash-for-clunkers" program, that gives
rebates for car buyers trading in less fuel-efficient vehicles, will end on
Monday, the U.S. Transportation Department said on Thursday. [ID:nWEN2655]
In Tokyo, shares of Toyota Motor (7203.T) dropped 2.9 percent and shares of
Nissan Motor (7201.T), in which France's Renault (RENA.PA) has a significant
stake, shed 5.2 percent.
Oil eased below $73 a barrel on Friday as optimism over the pace of demand
recovery in the United States faded, while metal prices also fell.
Mining shares will be in focus after BHP Billiton (BLT.L) said it did not
expect to see "clean demand" for the global metals sector until early 2010.
[ID:nLK212585]
The Shanghai Composite Index .SSEC was up 1.1 percent in late trade.
Investors will scour U.S. Federal Reserve Chairman Ben Bernanke's speech
before the Federal Reserve Bank of Kansas City Economic Symposium later in the
day, for more clues on the outlook for the world's largest economy.
The market will also keep a close eye on U.S. existing home sales data, due
at 1400 GMT. A Reuters survey of 61 economists predicted sales of previously
owned homes climbed to a seasonally adjusted annual rate of 5 million in July,
the briskest pace since 5.1 million units were sold in September and up from
4.89 million units in June.
The FTSEurofirst 300 .FTEU3 index of top European shares, which gained 1.4
percent on Thursday, is up 0.4 percent so far on the week. The benchmark index
has soared 46 percent since reaching a floor in March, and is up 14 percent
year-to-date.
