European stock markets are expected to continue their decline ahead of US inflation figures. The Eurostoxx 50 at 3,724.45 points (-1.70%), the CAC 40 at 6,358.46 points (-1.40%), the DJIA at 32,272.79 points (-1.94%), the Nasdaq at 11.754.23 points (-2.75%), the S&P 500 at 4,017.82 points (-2.38%) and the Nikkei 225 at 27,841.09 points (-1.44%).

On the currency front, the change from the New York close shows EUR/USD opening at 1.0635 (+0.15%), EUR/JPY at 142.63 (-0.04%) and USD/JPY at 134.16 (-0.16%).

Investors will react on Friday to Euronext's quarterly index review, which announced the return of the shopping mall company Carmila to the SBF 120 on June 20. The stock exchange operator also announced the integration of Euroapi's share in the CAC Mid 60 on that date. The producer of active pharmaceutical ingredients went public at the beginning of May, following its spin-off from the pharmaceutical company Sanofi.

European equity markets are expected to continue their decline on Friday, while investors await the latest U.S. inflation figures, due out at 2:30 p.m. (Paris time). At 7:35 a.m., the CAC 40 futures contract was down 47 points, or 0.7 percent, according to data from broker IG Markets. The DAX 40 contract was giving up 114 points, or 0.8 percent, and the FTSE 100 contract was giving up 60 points, or 0.8 percent as well. Economists surveyed by The Wall Street Journal expect the overall U.S. inflation rate to ease to 8.2% year-over-year in May from 8.3% in April. Such a level of inflation would be lower than the 8.5% reached in March but would still be high. Core inflation, which excludes food and energy, is expected to slow slightly to 5.9% year-on-year from 6.2% in April.

Wall Street ended sharply lower on Thursday, with investors fretting ahead of the release of the price data. The Dow Jones Industrial Average (DJIA) lost 1.9 percent to 32,272 points, and the broader S&P 500 index dropped nearly 2.4 percent to 4,017.82 points. The Nasdaq Composite gave up 2.8% to 11,754.23 points. In Asia, the major indices were moving in mixed order on Friday after the release of consumer prices in China, which revealed that inflationary pressures in the country had eased slightly in May. At the end of the session, the Shanghai Composite index was up 0.6%, while the Hang Seng index of the Hong Kong Stock Exchange lost 0.3%. In Tokyo, the Nikkei index was down 1.4%.

Consumer prices in China rose 2.1% over the same period.

U.S. Treasury yields continue to rise Friday morning as the market awaits U.S. inflation figures. The two-year yield is trading at its highest levels since December 2018, while the yield spread between five- and 30-year securities narrowed to 9.6 basis points on Thursday, sending a potentially worrisome signal on the economic outlook.

The euro is regaining some ground against the dollar on Friday morning, after falling the day before in reaction to European Central Bank (ECB) announcements and as investors await U.S. inflation figures. The single currency is trading at $1.0640 Friday morning, up 0.2%.

Oil futures are retreating Friday morning as investors fear further confinements in China. Disruptions caused by the war in Ukraine and sanctions on Russia are expected to keep oil prices high, she estimated Thursday. She added that U.S. President Joe Biden's decision to release oil from the country's strategic reserve this year was the administration's main tool to put downward pressure on prices. At 7:25 a.m., the August contract for North Sea Brent crude was down 70 cents at $122.37 a barrel. The Nymex-listed July light sweet crude (WTI) contract was giving up 62 cents to $120.89 a barrel.