Peter Nurse 

Investing.com – European stock markets are expected to open sharply lower Thursday, extending the global selloff after minutes from the Federal Reserve’s December meeting pointed to early interest rate hikes amid inflation concerns. 

2.30 AM ET (0700 GMT), Germany’s contract traded 1.5% lower while France fell 1.8%, and Britain’s contract declined 1.4%.

European indexes will follow in their footsteps as Asian counterparts following the Wall Street sharp selloff Wednesday night. Tech-heavy Index fell over 3%, its largest one-day percentage decline since February. Also, the broad-based index fell nearly 2% in its largest daily percentage drop since November.

The Federal Reserve’s latest meeting was published, and policymakers stated that a tight job market and high inflation could require them to increase rates earlier than they previously advised.

ADP reported Wednesday that the average monthly increase in employment was more than twice as high last month. Weekly data are due later Thursday, ahead of Friday’s key report.

Adding to Thursday’s woes, France reported a new record of Covid-19 cases, around a third of a million daily cases, while the likes of Portugal, Turkey, Italy and the Netherlands also registered record rises.  Italy is imposing a mandatory vaccination for anyone over 50.

rose 3.7% on the month in November, a substantial improvement from October’s 6.9% slump, ahead of the release of and .

Sodexo, PA:, is expected to make headlines Thursday in corporate news after it reported that its organic sales rose 17% in the first quarter. This was due in part to the opening of new schools and universities.

Oil prices fell Thursday after U.S. gasoline stockpiles surged last week, implying weakening demand at the world’s largest energy consumer.

The U.S. data showed that inventories decreased by less than 2 million barrels in the week ending Dec. 31. However, they increased more than 10,000,000 barrels, which is the largest weekly increase since April 2020.

A rise in gasoline stockpiles suggested that people are reluctant to travel. The United States reported nearly one million Covid-19 cases Monday, setting an international record.

U.S. crude futures fell 0.9% to $77.12/barrel at 2 AM ET. Contracts dropped by 1%, reaching $80.03. The prices of both the contracts were at their highest since late November, when they traded 0.9% lower at $77.12 a barrel. However, contract fell 1% to $80.03.

The price fell to $1.801.10/oz by 1.3%, and traded at 0.2% less at 1.1296.