LONDON — European markets opened in positive territory on Friday.
The pan-European Stoxx 600 was up 0.36% shortly after the opening bell, with major regional bourses and most sectors in the green.
European stocks ended Thursday in the red, though defense stocks extended gains for a fifth consecutive day after President Donald Trump’s call for U.S. military spending to rise and continued rhetoric on Greenland.
Trump called for a 50% increase in U.S. military spending, eyeing a $1.5 trillion budget in 2027, in a TruthSocial post late Wednesday.
Trump has been ramping up calls for Greenland to be brought under Washington’s control and is considering various options to make it happen — including military action. It could mean the end of NATO, given the U.S. and Denmark, which is responsible for the defense of Greenland, are both members.
Meanwhile, the CEO of mining company Amaroq told CNBC the U.S was mulling investing in critical minerals mining projects on Greenland. It comes ahead of high-stakes talks between Washington and Danish officials over the island’s future as Trump maintains its importance to U.S. national security.
British mining firm Rio Tinto is in preliminary talks to acquire Swiss firm Glencore in what could create one of the world’s largest mining companies. Glencore traded 7.8% higher at the opening bell.
Shares of European oil names fell this week as investors continue to react to Trump’s action in Venezuela, but pared some gains in early dealmaking on Friday. BP was up 1.7%, Shell added 1.8%, and TotalEnergies gained 1.7%.
U.K. supermarkets Tesco and Marks and Spencer’s reported yesterday and saw strong Christmas food sales.
Tesco lifted its end-of-year profit guidance for fiscal 2026, from £2.9bn ($3.9 bn) to £3.1bn. Its stock was last seen 1.4% lower.
Elsewhere, European leaders will vote on a trade agreement with South America’s Mercosur bloc trade on Friday, which has seen strong opposition from farmers and some EU member states over concerns it could create unfair competition for European agriculture.
There are several data releases expected in Europe today, including Germany’s balance of trade. Investors may also be looking at U.S. employment data for December, due at 8.30 a.m. ET.
Defense stocks across Asia climbed Friday as investors digested the ongoing political tensions. U.S. stock futures were near flat Thursday night ahead of the key jobs report and a potential U.S. Supreme Court ruling on tariffs.