European markets head for negative open as choppy week for stocks continues

LONDON — European stocks are expected to open in negative territory on Thursday as regional markets continue to see-saw this week.

The U.K.'s FTSE index is expected to open 0.18% lower, Germany's DAX 0.3% lower, France's CAC 40 down 0.41% and Italy's FTSE MIB just below the flatline, according to data from IG.

It's been a choppy week for European markets with bourses touching a two-week low on Tuesday but trading higher on Wednesday, with luxury brands driving gains.

France's CAC 40 was up 2% at the closing bell on Wednesday — marking its biggest daily gain since May — with investors closely monitoring Prime Minister Sebastien Lecornu's new government after he pledged to suspend a controversial pension reform until after the 2027 election, one of the signature economic policies of President Emmanuel Macron.

U.S. stock futures were little changed Wednesday night after strong bank earnings shifted investor focus from risks both at home and abroad. The U.S. government shutdown heads into its third week and escalating trade tensions with China persist.

Meanwhile Asia Pacifics markets rose overnight, with South Korea's Kospi index hitting a record high after the International Monetary Fund raised the country's 2025 growth forecast to 0.9% from 0.8% in its October outlook report.

On Thursday, investors will be keeping an eye on earnings from Nordea Bank, EQT and ABB. The latest monthly U.K. GDP data is also set to be released.

CNBC has more coverage of the latest IMF/World Bank meetings in Washington this week, with interviews coming up with Austrian National Bank Governor Martin Kocher and Eurogroup President Paschal Donohoe on Thursday.

We'll also be broadcasting our interviews with Joachim Nagel, president of the Bundesbank, François Villeroy de Galhau, governor of the Bank of France and National Bank of Belgium Governor Pierre Wunsch.