European bourses were mixed on Friday morning as slumping oil prices continued to weigh on investor sentiment. Donald Trump’s comments on the German trade have also taken their toll on European stocks.

The DAX began the final day of the trading week lower, down 0.36 percent, with most sectors in negative territory. However, there was  an index that was higher in the morning.The FTSE was buoyed after sterling fell to a 10-day low following news of a diminishing lead for the U.K.’s Conservative Party ahead of June 8’s general election.

Oil and gas stocks were lower, but banks joined the negative show as yields have fallen further. source: Bloomberg

Oil and gas was the worst performing sector in early deals after OPEC and some non-OPEC members agreed on Thursday to extend oil supply cuts of 1.8 million barrels per day for a further nine months in a bid to stem flailing prices. Though the extension was largely expected, it disappointed some investors who had hoped for longer or deeper cuts. Oil prices showed some uptick in early deals, but the sector was down 1.16 percent

With no corporate results on the agenda Friday, investors will be casting their eyes to Sicily, Italy, where G-7 leaders will be meeting to discuss matters including trade and climate change. European leaders will be keen to bridge an apparent policy gap with U.S. President Donald Trump. The trade topic was brought to the table by Donald Trump yesterday and has caused a deterioration in moods.

Across the Atlantic, the Trump administration faces its latest wave of scrutiny after the president’s son-in-law and senior White House advisor Jared Kushner was reportedly placed under investigation over his alleged ties with Russia.

 DAX remains in the wide downward channel. A support lies at 12500 and seems to be holding well. A break lower could lead to a test of 12400.