A look at the day ahead in European and global markets from Tom

Westbrook

Oil ticked higher and European futures wobbled on Friday,

while the U.S. and Iran exchanged fire in the Middle East.

But with investors choosing to focus on hopes for a more

lasting peace deal moves were modest and, in Asia, dominated by

big weekly gains in AI stocks.

Traders were watching early results in Britain's local

elections, which showed heavy losses for Keir Starmer's Labour

Party though sterling stayed steady at $1.36 in Asia.

U.S. and Iranian forces clashed in the Gulf, and the UAE

came under renewed attack. U.S. President Donald Trump later

told reporters the ceasefire was still in effect and sought to

play down the exchange, leaving oil at $101 a barrel.

Toyota ( TM ) forecast a 20% decline in profit for the

current financial year on Friday, as cost and supply

uncertainties stemming from the Iran war weigh on earnings, and

its shares fell about 1.5%.

Most markets in Asia logged small losses on Friday but were

set for chunky weekly gains led by South Korea, where runaway

rallies in chipmakers Samsung Electronics ( SSNLF ) and SK

Hynix had the KOSPI on course for a 13%

weekly rise, its best since 2008.

German trade data is due on Friday along with U.S. jobs

figures, with a steady unemployment rate at 4.3% seen giving

room for the Federal Reserve to leave interest rates where they

are for the time being.

Key developments that could influence markets on Friday:

- U.S.-Iran negotiations

- German trade data

- U.S. non-farm payrolls