Here are the top five things you need to know in financial markets on Friday, May 13:
1. Oil prices fall on stronger dollar and glut worries
Crude prices fell on Friday as the dollar continued to rise, making fuel imports for countries with currencies other than the greenback more expensive, and as Russia warned that the global supply glut could last into next year.
U.S. crude oil futures fell 1.73% to $45.89 at 9:54AM GMT, or 5:54AM ET, while Brent oil lost 1.52% to $47.35.
2. Global growth concern in focus as euro zone GDP revised down
Despite extraordinary measures taken by the European Central Bank, growth in the euro zone continued to show weak signs as Friday saw first quarter growth revised down to 0.5%, from an initial reading of 0.6%, reminding market participants of the weak global growth outlook.
Germany, the engine of the euro zone economy, managed to surprise with a better-than-expected increase of 0.7% in the first quarter, but the German economy ministry warned that growth was expected to slow on a decline in exports.
3. IMF warns on impact of a Brexit
The International Monetary Fund (IMF) warned that a vote by the U.K. to leave the European Union (EU), known as a Brexit, in the June 23 referendum could cause a stock market crash and a steep fall in British house prices.
The IMF added that over the longer-term, a Brexit would lead to depressed growth.
The warning followed a similar message delivered by Bank of England governor Mark Carney on Thursday.
4. Retail sales and consumer sentiment among data on tap
After recent weakness in retailer earnings seen this week, investors looked ahead to the publication of April retail sales and Michigan consumer sentiment for May at 12:30GMT, or 8:30AM ET, and 14:00GMT, or 10:00AM ET, respectively.
In other data, April producer prices will also grab market attention at 12:30GMT, or 8:30AM ET, while March business inventories will be released at 14:00GMT, or 10:00AM ET.
5. Global stocks traded lower
Chinese stocks traded lower heading for their fourth week of declines on concern over the country’s slowdown weighed on investor sentiment, while Japan retreated 1.4% as the yen staged a recovery.
European stocks markets moved broadly lower, as euro zone growth was revised lower and more warnings over the possibility of a Brexit arrived from the desk of the IMF. At 9:55AM GMT, or 5:55AM ET, the European benchmark Euro Stoxx 50 traded down 0.50%, the DAX lost 0.38%, the CAC 40 fell 0.62% and London's FTSE 100 shed 0.64%.
In the U.S., futures also pointed to a lower open on Friday with a lack of investor conviction ahead of key data. The Dow Jones Industrial Average futures pointed to a 0.45% drop, S&P 500 futures a 0.43% decrease, while the Nasdaq 100 futures indicated a 0.44% decline.