China’s economic slowdown ramped up in October<\/a>, with data showing fixed asset investment \u2013 which includes the country’s closely watched real estate sector \u2013 contracted in the first 10 months of the year. Retail sales softened, meanwhile, and industrial output growth also slowed.<\/p>\n Investors are also reeling from big losses on Wall Street on Thursday<\/a>, as concerns about AI valuations and the U.S. interest rate trajectory mounted. Big Tech stocks were hit particularly hard, with the tech-heavy Nasdaq Composite shedding 2.3% by the closing bell.<\/p>\n Comments from Federal Reserve officials in recent weeks have prompted money markets to reconsider the likelihood of a December rate cut<\/a> from the central bank. By Friday morning, markets were pricing in a 52.1% chance of the Fed cutting by 25 basis points at its next meeting. A month ago, the market had assigned a 95% probability to an end of year cut.<\/p>\n Back in Europe, yields on U.K. government bonds \u2014 known as gilts \u2014 spiked on Friday, amid reports that the Labour government was U-turning on an income tax raid that had been planned as part of the looming Autumn Budget.<\/p>\n By 8:26 a.m. in London (3:26 a.m. ET), the yield on the benchmark 10-year gilt<\/a> had risen by 11 basis points to 4.55%. Yields on the longer maturity 20-<\/a> and 30-year gilts<\/a> rose by 12 and 13 basis points, respectively.<\/p>\n Stock Chart IconStock chart icon UK 10 year gilt<\/p>\n Corporate earnings also continue to hold the spotlight in Europe, with German insurer Allianz among the companies reporting on Friday.<\/p>\n Allianz said it had achieved record results in the first nine months of the year, bolstered by double-digit growth in operating profit in the third quarter. Operating profit for the three months to September jumped 12.6% to 4.4 billion euros ($5.1 billion), largely driven by the firm’s Property-Casualty division.<\/p>\n The company said it expects to achieve an operating profit of at least 17 billion euros this year, which sits in the upper end of its full-year guidance range. \u00a0<\/p>\n Allianz shares were last seen trading around 1.5% higher.<\/p>\n Across the Atlantic, U.S. stock futures were little changed<\/a> on Friday morning following Wall Street’s Thursday sell off.<\/p>\n![\"hide](\"https:\/\/static-redesign.cnbcfm.com\/dist\/a54b41835a8b60db28c2.svg\")
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