FTSE seen opening lower

LONDON (Reuters) - The FTSE 100 index .FTSE is seen opening 38-49 points lower on Friday, according to financial bookmakers, having closed down 87.6 points, or 1.6 percent at 5,362.3 in the previous session.

The UK's blue-chip index is seen tracking U.S. markets lower, as stocks across the Atlantic tumbled more than 2 percent after a report showing yet another drop in U.S. home sales prompted investors to take profits in financial shares. Japan's Nikkei average .N225 slid 2 percent on Friday, after gaining about 6 percent this week.

Closer to home, after the market close on Thursday, Bank of England deputy governor Charles Bean said economic growth will be slower and inflation stronger than the central bank forecast in May and policymakers are trying to balance those competing risks.

Also adding to the negative sentiment, rising costs and depressed demand could reshape Britain's retail industry over the next 10 years, with bankruptcies and job losses set to rise as companies struggle to adapt, a report showed on Friday.

"We're looking at a universally lower start to trade in Europe today although there is some fundamental data due for release which may have the potential to help stem the slide," said Paul Webb, chief dealer at CMC Markets.

Offering possible market direction on the economic front, UK GDP for the second quarter will be eyed by investor at 9:30 a.m. British time, while U.S. durable goods orders due at 1230 GMT could also offer further economic clues.

"The FTSE is currently indicating a sharply lower opening, as traders are worried that the GDP numbers which are released this morning will come out on the weaker end," said David Evans, market analyst at BetOnMarkets.com.

"A weak number would deal another blow to the Bank of England which has been fighting a war on two fronts, inflation and a sluggish economy."

Stocks to watch on Friday are: