European markets are expected to open easier on Friday morning carrying on the downward trend seen at the end of the previous session as news came in on the downing of a Malaysian airliner over Ukraine. After the close of equity markets it was reported that an American official said it strongly suspected that a surface to air missile was the cause, however this has not been confirmed. The uncertainty over the exact nature of the incident is likely to ratchet up tensions in the region and between the West and Russia. With this uncertainty the riskier equities are likely to come under pressure as investors switch to safe haven asset classes.
The early indications expect the FTSE 100 to open around 35 points lower, the German DAX around 55 points lower and the French CAC around 30 points lower.