European stocks may drift lower on Friday to extend declines from the previous session as investors await the outcome of a meeting later today between the Trump administration's top two negotiators and Chinese President Xi Jinping in Beijing.
Underlying sentiment may remain cautious after U.S. President Trump said he would declare a national emergency to try to obtain funds for building his long-promised wall along the border.
Asian markets slipped into red on growth concerns after a report on U.S. retail sales showed the worst monthly decline since September.
Gold traded in a tight range while the dollar weakened as weak retail sales and producer price inflation data reinforced expectations that the Fed will avoid rising rates this year.
Oil extended recent gains, with Brent crude futures hitting fresh 2019 highs amid supply cuts led by OPEC and U.S. sanctions against Venezuela.
The British pound hovered near one-month low after Prime Minister Theresa May lost a symbolic Brexit vote in parliament.
U.S. stocks ended mostly lower overnight, led by declines in consumer and bank shares.
The Dow Jones Industrial Average dropped 0.4 percent and the S&P 500 slid 0.3 percent while the tech-heavy Nasdaq Composite edged up 0.1 percent.
European markets fell on Thursday as investors monitored fresh developments on the U.S.-China trade talks and Brexit. The pan European Stoxx 600 declined 0.3 percent.
The German DAX shed 0.7 percent and France's CAC 40 index eased 0.2 percent while the U.K.'s FTSE 100 inched up 0.1 percent.