European Factors to Watch-Shares to open steady, eyes on U.S. shutdown
Thu Oct 3, 2013 6:32am BST
LONDON, Oct 3 (Reuters) - European shares headed for a steady open on
Thursday, with uncertainty over the impact of a prolonged U.S. government
shutdown offset by strong economic data from China.
Markets were cautious given the likely impact of the shutdown on talks to
raise the U.S. debt ceiling by mid-October, with analysts saying failure to do
this would push the world's biggest economy into default and hurt the pace of
economic recovery.
But an upbeat survey on China's huge services sector after a poor report on
manufacturing earlier in the week and expectations that some recent
disappointing economic numbers would force the U.S. Federal Reserve to keep its
policies loose for longer were seen underpinning the market.
Capital Spreads predicted Britain's FTSE 100 to open 16 points
higher, or 0.25 percent, Germany's DAX to gain 2 points, or 0.02
percent, and France's CAC 40 to fall 2 points, or 0.05 percent.