Global Markets Anticipate Fiscal Moves Amid Cautious Trading

Friday's markets are tense as investors await potential fiscal stimulus from China after earlier disappointments. Geopolitical tensions between Israel and Iran further contribute to market volatility. European data and U.S. producer prices are anticipated, with financial institutions like J.P. Morgan reporting earnings.

The global markets reflected a cautious sentiment on Friday as investors braced for upcoming data releases and a potentially volatile weekend. This uncertainty was fueled by expectations of fresh fiscal measures from China, set to be announced at a Saturday briefing by the finance minister.

Amid high hopes for economic support, Beijing is anticipated to reveal new stimulus spending, speculated to be between 2 trillion to 3 trillion yuan. This comes after recent policy announcements fell short of market expectations, causing a drop in Chinese equities. Additionally, Israel's considerations for a response to an Iranian missile attack added a geopolitical edge to market anxieties.

Market watchers will closely follow European GDP figures and U.S. producer prices data, which will influence Federal Reserve rate cut expectations. Meanwhile, major U.S. banks like J.P. Morgan will announce their earnings as global investors prepare for another week of economic maneuvering.

(With inputs from agencies.)