European stocks may open lower on Thursday as the U.S. dollar weakened and oil resumed declines after closing about 1 percent higher on Wednesday to snap twelve successive days of declines.
Worries about oversupply returned to haunt investors after an industry group said U.S. inventories had risen more than expected last week.
The dollar fell against the pound and euro after British Prime Minister Theresa May gained cabinet support for a Brexit deal.
“The collective decision of cabinet was that the government should agree the draft withdrawal agreement and the outline political declaration,” May said after a five-hour meeting.
Asian stocks are turning in a mixed performance, with Chinese and Hong Kong markets rising sharply on hopes for possible government action to boost growth.
Overnight, U.S. stocks fluctuated before closing lower as Apple extended its recent declines and Congresswoman Maxine Waters, D-Calif., who is expected to take over the powerful House Financial Services Committee in the next Congress, suggested she would halt President Donald Trump’s efforts to roll back banking regulations.
The Dow dropped 0.8 percent and the tech-heavy Nasdaq Composite shed 0.9 percent while the S&P 500 fell 0.8 percent to end lower for the fifth consecutive session.
European stocks also closed lower on Wednesday as lingering worries about slowing global growth overshadowed news that the EU and UK negotiators have reached a draft Brexit deal.
The pan-European Stoxx Europe 600 index gave up 0.6 percent. The German DAX declined half a percent, France’s CAC 40 lost 0.7 percent and the U.K.’s FTSE 100 dipped 0.3 percent.