BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - European stocks are seen opening
broadly higher on Friday as investors eagerly await the release of closely
watched U.S. inflation data later in the day that may shed additional clues on
the interest-rate outlook.

The Commerce Department's report on personal income and spending for May
includes readings on inflation said to be preferred by the Federal Reserve.

Analysts expect a modest slowdown in the annual rate of consumer price growth to
2.6 percent last month from 2.8 percent, driven by falling gas prices and more
deflation in consumer goods.

That's the lowest reading since March 2021 but remains above the Fed's 2 percent
target.

Federal Reserve Bank of Atlanta President Raphael Bostic said Thursday he
continues to expect one interest rate cut this year in the fourth quarter as
inflation shows progress. His projection echoes that of the Federal Open Market
Committee.

Closer home, unemployment data from Germany and flash inflation figures from
France, Spain and Italy are due later in the session, headlining a busy day for
the European economic news.

Investors may also react to the Biden-Trump Presidential debate and weigh
political uncertainty risks, heading into France's landmark legislative
elections due over the weekend.

The first U.S. Presidential debate between President Joe Biden and former
President Donald Trump has ended, with both the leaders trading fiery barbs at
each other over several issues such as the state of the economy, border, foreign
policy, abortion and national security.

Opinion polls suggest victory for the far right in the first phase of the
two-stage French parliamentary elections, but predicting the outcome of final
vote on July 7 is less clear-cut, given the complexity of France's voting
system.

Asian stocks were mostly higher, with Chinese markets leading regional gains
ahead of key purchasing managers index data from China due over the weekend.

The dollar was slightly firmer in Asian trading despite falling yields.

Oil extended gains for a third straight session while gold slipped after rising
in the previous session.

Overnight, U.S. stocks fluctuated before finishing modestly higher despite
selling among key semiconductor stocks following disappointing guidance from
memory-chip maker Micron Technology.

U.S. Q1 GDP growth was revised higher to 1.4 percent as expected and jobless
claims declined last week while orders for durable goods unexpectedly rose in
May, but slowed versus the prior month, separate set of data revealed.

The Dow and the S&P 500 both ended flat with a positive bias while the
tech-heavy Nasdaq Composite added 0.3 percent.

European stocks fell broadly on Thursday as bond yields surged following
inflation warnings from Australia and Canada.

The pan European STOXX 600 dipped 0.4 percent. While the German DAX edged up 0.3
percent, France's CAC 40 dropped 1 percent and the U.K.'s FTSE 100 shed 0.6
percent.



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