Stocks Moderate as Risk Rally Hits Pause

Continental stock markets are moderately lower in early European hours, with losses of 0.1-0.3%. France's CAC-40 is very slightly underperforming, while German stocks are largely spared from the downside. Real estate and financials are among the poorest performers, while materials and tech names are providing some support.

Equity indices outlook is unchanged and bullish, E-mini S&P futures target the psychological 4000.00 handle. An initial objective is at 3988.40, 2.236 projection of the Sep 24 - Oct 12 - Oct 30 price swing last year.

Walmart Q4 earnings could take some focus later today, with the firm expected to post a decent rise in same store sales and e-commerce. The report crosses at 1200GMT/0700ET.