European markets are mostly lower on Friday with Spain clearly in focus as investors wait to see if Eurozone's finance ministers formally approve the Spanish bank bailout deal. Spain's 10-year government bond yield sits at 6.97 per cent, hovering perilously close to the unsustainable 7 per cent level. Greece, Ireland, and Portugal were all forced to seek bailouts after 10-year yields pushed above 7 per cent.
In Asia, markets dropped on Friday with Japan's Nikkei Average hitting a three-week low prior to the start of corporate earnings season next week. Some investors were disappointed by weak U.S. employment data while others remain concerned over the Chinese property sector after it emerged the government will remain tough on the housing market.
Prior to the TSX open, here's what you should know:
*U.S. futures point to a higher open with all eyes on the technology sector today after Microsoft and Google posted better-than-expected earnings though they were "light on revenues". Dow Jones Industrial Average futures were 0.27 per cent higher at 12943.36. The S&P 500 futures inched up 0.27 per cent to 1376.51, and Nasdaq-100 futures gained 0.79 per cent to 2965.90.
*The price of oil edged down to near US$92 per barrel as weak demand weighed against tensions in the Middle East. Benchmark crude was down 59 cents at $92.07 a barrel on the New York Mercantile Exchange. Brent crude was down 47 cents at $107.33 on the ICE futures exchange in London.
*Gold is holding steady despite weak U.S. data and as investors hold out hope that the U.S. Federal Reserve will consider another round of quantitative easing. Spot gold was flat at $1,581.25 per ounce. U.S. gold futures for August delivery also traded little changed at $1,581.20.
*The Canadian dollar closed up 0.29 of a cent on Thursday to trade at 99.23 cents US.
*There are no major reports scheduled for release on the U.S. data calendar for Friday.