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Here, Sophia Ziaee brings you the key activity shaping the markets on Friday 2nd September. Headlines include:

European shares fell sharply on Friday, snapping a four-session rally, on concerns U.S. non-farm payrolls numbers could further highlight the fragile state of recovery in the world's biggest economy and signal the country was headed for a recession.

Britain's FTSE 100 index was seen opening down around 92 points, or 1.7 percent, this morning in tandem with overnight falls on wall street and in Asia.

The U.S. non-farm payrolls data is expected to show an increase of 75,000 jobs, although market whispers point to a much lower number at 1.30pm following a decline in the employment component of the Institute for Supply Management's factory activity index on Thursday.

European bank shares have already fallen 1.6 percent, with investors trading cautiously after a New York Times report said a suit was being prepared to be filed against big U.S. banks.

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