European stocks to open flat to higher as investors survey the trade talks, tariff landscape
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Welcome to CNBC's live blog covering all the action in European financial markets on Tuesday, as well as the latest regional and global business news, data and earnings.
Futures data from IG suggests a generally positive start for European markets, with London's FTSE looking set to open unchanged at 8,774, Germany's DAX up 0.2% at 23,955, France's CAC 40 up a notch at 7,679 and Italy's FTSE MIB up slightly at 39,865.
The generally positive start for Europe comes as global investors begin to assess the trade talks and the tariff landscape as U.S. President Donald Trump's 90-day reprieve from higher import duties is set to expire next week.
Asia-Pacific markets traded mixed overnight as investors assessed the record gains on Wall Street and the prospects for trade deals, while U.S. equity futures were little changed early Tuesday after the S&P 500 notched another record to close out a stunning quarter.
U.S. Treasury Secretary Scott Bessent said Monday that there are "countries that are negotiating in good faith." However, he added that tariffs could still "spring back" to the levels announced on April 2 "if we can't get across the line because they are being recalcitrant."
Canada walked back its digital services tax in an attempt to facilitate trade negotiations with the United States. Ottawa's move to rescind the new levy comes after President Donald Trump said on Friday that he would be "terminating ALL discussions on Trade with Canada."
— Holly Ellyatt
A Tante Enso store in Wörlitz, Germany.
Picture Alliance | Picture Alliance | Getty Images
The big data release in Europe on Tuesday is the latest preliminary inflation data from the euro zone. Analysts expect the rate to have hit 2% in the year to June, which would be in line with the European Central Bank's target.
Earnings are set to come from Sodexo and Sainsbury's. Other data releases include German unemployment figures and U.K. Nationwide house prices data.
CNBC continues coverage of the ECB's forum in Sintra, Portugal, where central bankers have gathered this week.
— Holly Ellyatt
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Trump Announces 30% Duties on EU, Mexico
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Stocks Set to Open Lower as Trump Ratchets Up Tariff Threats, U.S. Inflation Data and Big Bank Earnings Awaited
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14 minutes ago
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Wall St futures wobble on fresh tariff threats ahead of data, earnings deluge
(Reuters) -U.S. stock index futures slipped on Monday, as President Donald Trump's fresh tariff threats targeting the European Union and Mexico dampened investor sentiment ahead of a week packed with economic data and second-quarter earnings. Over the weekend, Trump announced plans to slap a 30% tariff on most imports from the EU and Mexico starting August 1, adding similar warnings to other countries, giving them less than three weeks to strike framework deals. The EU said it would extend its suspension of countermeasures to U.S. tariffs until early August and continue to press for a negotiated settlement. At 5:30 a.m. ET, Dow E-minis were down 130 points, or 0.29%, S&P 500 E-minis were down 17.75 points, or 0.28%, and Nasdaq 100 E-minis were down 65 points, or 0.28%. The measured losses indicated investors are more accustomed to Trump's repeated tariff threats. "The moves have not been larger since investors see these threats as a Washington negotiating tactic to push the other side over the line into a deal," ING analysts said in a note. However, Wall Street's march to record highs will be put to test this week with the start of the second-quarter earnings season by major banks and June's consumer price data, due on Tuesday. On Friday, the S&P 500 receded from an all-time high it hit the day before, and closed lower. It capped last week with minor losses. Meanwhile, producer and import price reports due Wednesday could reveal how supply chain costs are evolving, and retail sales figures later in the week will offer a snapshot of consumer health. Also on the docket are at least seven Federal Reserve officials due to speak through the week. Amid the economic data deluge, traders have almost entirely ruled out a July rate cut from the Fed, though the odds for a September move still hover around 60%. Investors are also keeping a close watch on tensions between the White House and the U.S. central bank, after economic adviser Kevin Hassett said over the weekend that Trump might have cause to fire Fed Chair Jerome Powell, citing cost overruns from the central bank's headquarters renovation. Among stocks, Boeing rose 2% in premarket trading after a preliminary report from the Air India crash probe suggested no immediate action against the planemaker. Crypto stocks ticked up after bitcoin topped $120,000 for the first time. Coinbase global rose 1.5%, while Bitfarms gained 3.7%. Strategy advanced 2.9%, while Riot platforms was up 2.4%. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
