UK and European stock markets are set to start the week lower, with the aftershock of last week’s Dubai shockwave likely to keep shares under <br />pressure. <br /><br />GFT is quoting the FTSE 100 index to open down 23 points from Friday’s close, at a level of 5,222. <br /><br />The German DAX is also called lower, down 40 points at 5,645, and the French CAC is forecast to open down 19 points at 3,702.<br /><br />The revelation last week that Dubai may face a major debt default hit markets hard, but coming as it did over the Thanksgiving holiday and the associated early closings on many global markets, there could well be aftershocks today as the markets get back into full swing and investors attempt to ascertain the full implications of the crisis. <br /><br /><strong>CATALYST FOR VOLATILITY<br /></strong>At the least, expect this to act as a catalyst for plenty of volatility as sentiment oscillates from the “potential global financial meltdown” scenario to the less dramatic “mountain out of a molehill” mood. <br /><br /><strong>US NON-FARM PAYROLLS<br /></strong>In addition to the Dubai debate, markets will have to contend with several high level economic data releases this week, including the Daddy of economic events – US non-farm payrolls – on Friday, for which the current whisper is for a drop of 120,000 jobs in the month of November. <br /><br />Also be prepared for the ISM manufacturing and services indices out on Tuesday and Thursday, and interest rate announcements from Australia tonight – the RBA could make history by hiking rates for a third straight month, to 3.75 per cent – and the ECB on Thursday. <br /><br />Martin Slaney is director of global dealing operations at GFT.