Europe stock futures track Asia, U.S. losses on retail trading frenzy jitters

European stock index futures fell more than 1% on Friday, tracking declines in Asian and U.S. equity markets on caution around a retail trading frenzy that gripped Wall Street this week. Futures tracking an index of Europe’s top 50 stocks were down 1.2% by 0647 GMT, setting up the benchmark STOXX 600 index to retreat further from near one-year highs hit last week.

London’s blue-chip index futures dropped 1.1% and Germany’s DAX futures declined 1.2%, while on Wall Street, S&P 500 futures fell 1% and Nasdaq 100 futures shed 1.1%.

U.S. stock markets, already looking overvalued after a stimulus-led rally last year, have been jolted by steep gains in heavily shorted stocks, including Gamestop and AMC Entertainment.

Concerns around the potential economic damage from a new strain of the coronavirus in Europe has also dented sentiment in the past few days.

Europe stock futures track Asia, U.S. losses on retail trading frenzy jitters, Reuters, Jan 29