At 12:30 GMT, the US economy released its reading for the retail sales index, which rose by 1.2% in July, but lower than forecasts of 2%, while the index rose by 8.4% in the previous reading after it was revised from 7.5%. 

The core reading (excluding food and fuel prices) rose by 1.9%, higher than forecasts of 1.3%, while the previous reading was at 8.3% after it was revised from 7.3%.

The US dollar rose on Friday, to resume its gains after two days, lifted renewed hopes about the US economic recovery after upbeat jobs data, and ahead of the US retail sales reading for July.

The dollar index rose over 0.2% to 93.41 points, after opening at 93.22, and hitting a session-low of 93.16.

The index lost 0.2% yesterday, its second straight daily loss, but it was reduced from 0.5% after the release of strong data in the US.

The US Department of Labor revealed yesterday that the unemployment claims fell to 963,000 during the past week, beating forecasts of 1.120 million in a positive sign for the US labor market.

Investors are anticipating the release of the US retail sales, which is one of the most important gauges of consumer spending that accounts for 70% of the US GDP, which delivers key insight on the US economy's recovery from the coronavirus effects.

The US retail sales monthly reading will be released at 12:30 GMT, with forecasts for a rise by 2% in July vs. 7.5% in June, and the core reading for the same index (excluding car sales) is expected to also rise by 1.3% vs. 7.3%.

At 13:15 GMT, the US economy will release the industrial production monthly reading, with forecasts to rise by 3.1% in July vs. 5.4% in June, and the capacity utilization rate is expected to reach 70.3% vs. 68.6% in June.

Oil prices continued to drop as the US market opened on Friday, to head for the second straight daily loss, on renewed global demand concerns after the International Energy Agency cut its forecast for global fuel consumption in 2020, in addition to weak data in China.

US crude fell 1.3% to $41.79 a barrel, after opening at $42.34, and hit a session-high of $42.55, while Brent fell 1.5% to $44.50, after opening at $45.18, with a high of $45.21. 

US crude lost 0.5% yesterday, Brent fell 0.6%, and posted their second daily loss in 3 days.

The International Energy Agency cut its forecast for global oil demand in 2020, and said that the reduced air travel due to the coronavirus pandemic will lower oil demand this year by 8.1 million barrels per day.

OPEC revealed in its monthly report earlier this week that it expects the global demand for oil to decline by 9.06 million barrels per day in 2020, compared to its July's estimate of 8.95 million bpd.

Earlier Chinese data showed industrial output up 4.8% in July, missing estimates of 5.1%, which increased doubts about the Chinese economy's recovery from the coronavirus impact, as China is the world's second largest oil consumer and the largest importer.

European stocks fell in morning trading on Friday, to head for the second straight daily loss on profit-taking from a 3-week high, led by sharp losses in the traveling sector, after the UK's decision to impose a quarantine on all visitors arriving from France.

The Stoxx Europe 600 index fell more than 1.5% as of 11:15 GMT, after it closed lower by 0.6% yesterday the first daily loss in 5 days, after it hit a 3-week high of 375.48 points on the previous day.

The pan European index opened lower, to head for the second straight daily loss on profit-taking, with most of the major European markets and sectors seeing red today.

The travel and leisure sector saw the largest losses in Europe today, dropping over 3%, on growing concerns over a second wave of the coronavirus. 

The UK said it will impose a 14-day quarantine on all arrivals from France starting from Saturday, after a spike of infections in Paris, and added Netherlands, Malta and Monaco to the list, which already includes Spain and Belgium.

S&P 500 futures fell 0.5%, after the index closed lower by 0.2% yesterday, on profit-taking from s 6-month high.

Back to Europe, the Euro Stoxx 50 index fell 1.5%, France's CAC 40 fell 1.8%, Germany's DAX dipped 1.1%, and the UK's FTSE 100 fell 1.7%.