LONDON, Jan 6: European shares steadied on Friday after recent sharp losses and the euro faced fresh pressure following another 16-month dollar low as investors awaited key US jobs data amid rising eurozone tensions.

“The real focus for the financial markets today is of course on the key labour market report,” said Derek Halpenny, European Head of Global Currency Research at The Bank of Tokyo-Mitsubishi UFJ.

Ahead of the release, eurozone dangers remained firmly in focus as IMF chief Christine Lagarde noted that the crisis was taking a toll on Africa and the rest of the world.

She however added during a visit to South Africa that the single currency was unlikely to disappear in 2012. Her prediction came ahead of official data showing eurozone unemployment still at a record high 10.3 per cent in November.

In European midday trading, London’s FTSE 100 index edged up 0.10 per cent to 5,629.80 points, Frankfurt’s DAX 30 dipped 0.04 per cent to 6,093.60 points and in Paris the CAC 40 won 0.38 per cent to 3,156.87.

Madrid gained 0.42 per cent and Milan fell 0.15 per cent, a day after both indices plunged around 3.0 per cent on fears that indebted Italy and Spain may need financial bailouts.—AFP