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A recent study by the European Central Bank indicates that anticipated U.S. tariffs are prompting shifts in consumer behavior across the euro zone.

The ECB’s Economic Bulletin highlighted that shoppers are increasingly avoiding American goods and scaling back on non-essential purchases as uncertainty around potential tariffs casts a shadow over parts of the bloc’s economy.

“In response to tariff-related concerns, consumers are altering their spending habits in notable ways,” the ECB said in its report.

Even though households in the euro zone have built up significant savings since the pandemic, consumers have remained cautious about spending throughout 2025.

The report underscores how ongoing trade tensions are influencing everyday household decisions, with consumers adjusting their buying patterns even before any formal tariffs are enacted.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Copper prices rose in early Monday trading as supply disruptions resurfaced and demand from China remained strong.

On the London Metal Exchange, copper advanced 0.6%, reaching $9,996.50 per metric ton in morning deals.

Analysts at ANZ warned that tighter market conditions could emerge if the halt at Chile’s El Teniente mine lasts longer than expected. The state-owned miner Codelco reported Friday that the facility will need additional time to resume full production after a tunnel collapse in July.

Meanwhile, Chinese demand continues to show resilience, with refined copper imports projected to rise, ANZ noted.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

The U.S. dollar found stability on Monday following a week of volatility, as investors awaited remarks from Federal Reserve officials that could signal the next steps in monetary policy ahead of important inflation data.

At 04:20 ET (08:20 GMT), the Dollar Index, which measures the greenback against a basket of six major currencies, traded slightly lower at 97.155. Last week, the index had dipped to its lowest levels in over three years after the Fed’s rate cut, before rebounding sharply amid choppy trading.

Focus on Fed speakers

Traders are closely watching comments from Fed officials for insight into the future path of interest rates after the central bank restarted its rate-cut cycle last week—the first reduction this year. Fed policymakers John Williams, Thomas Barkin, and Stephen Miran are scheduled to speak at separate events on Monday, while Raphael Bostic, Michelle Bowman, and particularly Fed Chair Jerome Powell will address the market on Tuesday.

These speeches, combined with upcoming economic releases, are expected to influence investor sentiment, with two additional Fed meetings remaining in 2025. The U.S. personal consumption expenditures (PCE) price index, the Fed’s preferred inflation gauge, will be released on Friday. The August reading is anticipated to rise slightly to 2.8% from July’s 2.6% annual rate.

“Plenty of Fed speakers this week will clarify the FOMC’s policy views after Chair Powell’s cautious remarks last week,” analysts at ING said in a note. “With the Dot Plot signalling two more cuts this year, we don’t expect much support for the dollar, which is looking moderately expensive in the short-term.”

Euro and sterling movements

In Europe, EUR/USD ticked up 0.1% to 1.1762 ahead of the latest eurozone consumer confidence report. “This week’s eurozone calendar revolves around tomorrow’s PMIs, which are expected to flatten up after some good August readings. Later this week, the German Ifo will complete the activity survey picture,” ING added. “EUR/USD’s short-term fair value is 1.190 as of this morning, and we see upside risks beyond the 1.180 level this week as the dollar may shed its post-Fed gains.”

GBP/USD rose 0.2% to 1.3499, recovering after sterling fell to a two-week low last week amid domestic pressures from rising public borrowing and a Bank of England decision highlighting the delicate balance between growth and inflation.

Asian currencies

USD/CNY dipped slightly to 7.1138 after the People’s Bank of China left its benchmark loan prime rates unchanged, as expected. The one-year LPR remained at 3.0% and the five-year LPR at 3.5%. Despite weak factory output and retail sales, the PBoC held policy steady, likely awaiting the Fourth Plenary Session in October for reassessment.

USD/JPY gained 0.1% to 148.09, trading in a narrow range following the Bank of Japan’s decision last week to keep rates unchanged. AUD/USD edged down 0.2% to 0.6579 after Reserve Bank of Australia Governor Michele Bullock noted that recent economic data mostly met expectations, though global uncertainty persists.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

U.S. stock futures edged lower Monday as investors prepared for a week packed with tech sector earnings and key economic data releases. Chipmaker Micron is among the most closely watched companies, with analysts eager for insight into the ongoing surge in artificial intelligence-related enthusiasm. Meanwhile, shares of Indian IT firms declined after the U.S. introduced a new H-1B visa fee, and BYD’s stock fell following reports that Warren Buffett’s Berkshire Hathaway has fully divested its stake in the electric vehicle manufacturer.

Futures show modest declines

By early Monday trading, Dow Jones futures were down 87 points, or 0.2%, S&P 500 futures had dropped 12 points, or 0.2%, and Nasdaq 100 futures fell 46 points, also 0.2%. Last week, Wall Street’s major indices posted consecutive record closes, with volume hitting levels not seen since April. The S&P 500 and Nasdaq Composite recorded a third straight weekly gain, buoyed by the Federal Reserve’s recent 25-basis-point rate cut and signals of further reductions in the months ahead.

Among individual movers, FedEx shares rose following a stronger-than-expected quarterly report, while Apple ticked higher after JPMorgan Chase raised its price target for the tech giant.

Micron and other tech earnings on the radar

Attention now turns to a series of tech earnings reports this week, with analysts watching for updates on AI-driven growth. Micron (NASDAQ:MU) is scheduled to report after Tuesday’s market close. Optimism has been high around the memory chip maker following strong results from peers like Broadcom (NASDAQ:AVGO) and Oracle (NASDAQ:ORCL), alongside favorable analyst previews, according to Vital Knowledge.

Other notable tech names reporting this week include Apple supplier Jabil, which anticipates strong demand for AI-driven data center infrastructure, and consulting firm Accenture, whose earnings will be scrutinized for potential AI-related impacts.

Visa fees and Indian IT sector pressure

U.S. mega-cap tech stocks held steady in early Frankfurt trading following the White House announcement of a $100,000 annual fee for H-1B visas. Microsoft, Alphabet, Goldman Sachs, and other companies warned employees about potential travel and work disruptions.

Shares of Indian IT firms—including Tech Mahindra, Tata Consultancy, and Infosys—tumbled in response, reflecting the role of U.S.-based projects in their revenue streams. The new fees, combined with President Trump’s recent doubling of tariffs on Indian oil imports to 50%, could pose longer-term headwinds for the sector.

BYD shares fall after Berkshire Hathaway divestment

BYD (USOTC:BYDDF) dropped in Hong Kong and mainland trading after reports that Berkshire Hathaway fully exited its position in the EV company. Hong Kong-listed BYD shares fell 3.5% to HK$109.50, while mainland shares lost 1%, dragging the Hang Seng index down 1%. Berkshire confirmed the exit after previously reporting that its stake had declined to nearly zero value. The company had gradually reduced its holdings since mid-2022, cutting its stake to under 5% by last year.

Gold climbs to record levels

Gold prices extended their gains Monday, supported by expectations of further U.S. rate cuts following the Fed’s recent move. Spot gold rose 0.9% to $3,715.50 an ounce, while gold futures gained 1.2% to $3,750.20/oz. Investors continue to watch upcoming U.S. economic data, including the Fed’s preferred inflation indicator, and comments from key policymakers. Lower rates remain favorable for non-yielding assets such as gold, while broader metals also benefited from the central bank’s easing.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Gold prices edged higher in Asian trading on Monday, staying close to last week’s record highs as expectations of further U.S. interest rate cuts following the Federal Reserve’s recent 25-basis-point reduction supported bullion demand.

Investors remained focused on gold ahead of several major U.S. economic releases this week, including the Fed’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) price index. However, some strength in the U.S. dollar, which has rebounded from its lowest levels in more than three and a half years, kept gold from hitting fresh record peaks.

Spot gold increased 0.3% to $3,697.70 per ounce, while gold futures rose 0.7% to $3,733.10/oz as of 01:33 ET (05:33 GMT). Last week, spot gold reached a high of $3,707.70/oz.

Record Levels Backed by Rate-Cut Sentiment

Gold’s recent surge followed the Fed’s widely anticipated rate cut, aimed at addressing rising risks to the labor market. Officials indicated that additional reductions could be possible in the coming months if signs of labor market weakness persist, though inflation concerns—particularly from higher trade tariffs—remain on the central bank’s radar.

Markets currently expect at least another 50-basis-point drop in interest rates this year, according to CME FedWatch data. Lower rates tend to benefit non-yielding assets like gold, as they reduce the opportunity cost of holding bullion. Other metals also saw gains following the Fed’s move.

Spot platinum climbed 0.8% to $1,419.90/oz on Monday, while spot silver rose 1.3% to $43.6495/oz. Among industrial metals, London Metal Exchange copper futures increased 0.1% to $10,001.10 a ton, and COMEX copper rose 0.1% to $4.6315 per pound.

Key U.S. Economic Data and Fed Commentary This Week

Attention this week is on key U.S. economic indicators that may influence expectations for future rate cuts. Several Fed officials are scheduled to speak, most notably Chair Jerome Powell on Tuesday.

Friday will see the release of the PCE price index for August, with core PCE inflation expected to remain above the Fed’s 2% annual target. Additional data this week include preliminary purchasing managers’ index readings for September and the final GDP growth figure for the second quarter.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Oil prices climbed in Asian trading on Monday following a week of losses, as markets weighed the potential effects of fresh European Union sanctions targeting Russia’s energy sector alongside intensified Ukrainian attacks on energy infrastructure.

As of 21:50 ET (01:50 GMT), Brent crude futures for November delivery were up 0.6% at $67.06 per barrel, while West Texas Intermediate (WTI) futures rose 0.5% to $63.02 per barrel. Brent had declined nearly 0.5% last week amid pressure from former President Donald Trump to lower oil prices.

EU Sanctions Pressure Builds

On Friday, the European Commission proposed its 19th round of sanctions against Russia, targeting traders, refineries, and petrochemical companies in third countries—including China—that violate existing restrictions on Russian energy imports. The package also includes plans to list 118 vessels from Russia’s so-called “shadow fleet.”

The EU is additionally considering moving forward a ban on Russian liquefied natural gas (LNG) imports, potentially enforcing it as early as January 1, 2027, in response to U.S. pressure. U.S. officials have voiced strong support for these measures, while Trump has urged the EU to impose stringent tariffs on major Russian oil buyers, particularly China and India, and accelerate Europe’s transition away from Russian energy supplies.

Ukraine Strikes Impact Russian Energy Output

Meanwhile, Ukraine has intensified attacks on key Russian energy facilities. On Saturday, Ukrainian drone forces reportedly targeted Rosneft’s Saratov refinery and the Novokuibyshevsk refinery in Russia’s Volga region, causing explosions and large fires. The Novokuibyshevsk facility, located in Samara Oblast, processes over 8.8 million tons of crude annually, while Saratov handles more than 7 million tons.

Energy markets view these disruptions as supportive for oil prices, as they reduce throughput and heighten risks to both crude and refined product exports. Analysts note that even short-term shutdowns of pipelines or terminals can tighten global supply margins, reinforcing the floor under prices.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

European equity markets edged slightly lower on Monday, with investors taking a cautious stance ahead of key U.S. inflation data following the Federal Reserve’s recent rate cut.

At 07:05 GMT, Germany’s DAX fell 0.3%, France’s CAC 40 slipped 0.1%, and the U.K.’s FTSE 100 dropped 0.1%.

Fed Officials and Inflation Data in Focus

Global markets had benefited from record-high Wall Street closes last week after the Fed’s interest rate cut, but momentum cooled on Monday amid uncertainty over the central bank’s future policy path. Traders are currently pricing in 44 basis points of easing across the two remaining Fed meetings this year.

Fed policymakers John Williams, Thomas Barkin, and Stephen Miran are scheduled to speak at separate events on Monday, while attention will turn to Raphael Bostic, Michelle Bowman, and Fed Chair Jerome Powell on Tuesday. Their comments, alongside upcoming economic data, are expected to play a pivotal role in shaping near-term investor sentiment.

The U.S. personal consumption expenditures price index, the Fed’s preferred measure of inflation, is set for release on Friday. The August figure is forecast to rise slightly to 2.8% from July’s 2.6%. In Europe, a flash estimate of eurozone consumer confidence for September is due later in the session.

China Maintains Interest Rates

Meanwhile, the People’s Bank of China kept its benchmark loan prime rate unchanged for the fourth consecutive month, in line with expectations. Investors are also watching ongoing trade discussions between the U.S. and China, including last week’s agreement regarding U.S. operations of TikTok.

Companies must also digest the Trump administration’s latest immigration directive, which went into effect Sunday. The proclamation imposes a $100,000 fee for H-1B visas needed for new employees entering the U.S.

Corporate and Energy Updates

In corporate news, Swedish telecom equipment maker Ericsson (BIT:1ERICB) announced an eight-year contract worth approximately $1.3 billion to supply 5G infrastructure to VodafoneThree’s U.K. mobile network. The deal follows the June merger of Vodafone (LSE:VOD) and CK Hutchison’s (USOTC:CKHUY) U.K. operations, which created VodafoneThree and included plans to invest £11 billion ($14.8 billion) over the next decade in one of Europe’s most advanced 5G networks.

Oil prices rose on Monday, supported by heightened geopolitical tensions in the Middle East and the potential impact of new EU measures targeting Russian energy revenues. At 03:05 ET, Brent crude futures gained 0.7% to $67.19 a barrel, while U.S. West Texas Intermediate rose 0.7% to $62.84 a barrel. Both benchmarks had fallen more than 1% on Friday amid concerns about oversupply and declining demand.

Weekend developments, including the recognition of a Palestinian state by four Western nations, added to Middle East uncertainty, a key oil-producing region. Additionally, the European Commission on Friday proposed its 19th sanctions package against Russia, targeting traders, refineries, and petrochemical firms in third countries—including China—that violate existing rules on Russian energy imports.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Pets at Home (LSE:PETS) continues to see its veterinary business bolster overall company value, even as its retail segment faces ongoing challenges, according to Jefferies.

Last week, the group issued a profit warning, revising its fiscal 2026 profit before tax (PBT) guidance to a midpoint of £95 million, down from previous estimates of roughly £185 million. Jefferies noted that the decline has been entirely driven by retail underperformance, with divisional PBT expected to drop from £101 million in fiscal 2022 to £31 million in fiscal 2026.

The company highlighted a 5% decline in year-to-date store sales, with accessories and advanced nutrition categories also underperforming despite growth in digital sales. Jefferies pointed out that these areas carry higher associated gearing and margin, amplifying the effect on profitability. “The diagnosis is yet to be fully fleshed out, but our discussions indicate that mgmt believes it is more of a range/product problem than a pricing issue,” the brokerage said, noting that the company is pursuing plans to address gaps in its food range and innovation, while accessories remain more problematic.

Pets at Home has also seen shifts in market share trends. After years of retail share gains, the company experienced losses over the past year. While the relative trend shows some improvement, Jefferies suggests these challenges are not purely market-driven. The recent departure of CEO Lyssa McGowan was attributed to these ongoing retail difficulties.

In response to the warning, Jefferies revised forecasts, lowering fiscal 2026 retail like-for-like sales from +1% to -0.5% and cutting gross margin by 100 basis points. This adjustment translated into an 18% reduction in group PBT, from £115 million to £94 million. For fiscal 2027, limited visibility prompted Jefferies to assume modest 1% growth in retail like-for-like sales, leading to a further contraction in retail PBT from £31 million to £24 million. Meanwhile, the veterinary division is expected to maintain momentum, keeping overall group PBT flat.

Jefferies’ sum-of-the-parts valuation places considerable emphasis on the veterinary business, which now represents roughly 90% of group PBT. The base case price target is 250p per share, reflecting a 6x P/E multiple for the retail division and a discounted cash flow valuation for the veterinary business assuming £60 million of free cash flow by fiscal 2026, 2% terminal growth, and a 7.5% discount rate. An upside scenario assumes a 12x retail multiple and 3% terminal growth, yielding a target of 320p, while a downside scenario, valuing retail at zero and applying more conservative assumptions to the veterinary division, results in a 150p target.

Despite retail struggles, Jefferies emphasized that the scale and profitability of the veterinary division underpin the company’s market value. “We continue to see value in PETS with the Vet group accounting for the entire market cap,” the brokerage said, highlighting the unit’s central role in maintaining investor confidence amid broader retail headwinds.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Renalytix Plc (LSE:RENX) has announced a retail offer to raise up to £500,000 through the issuance of new ordinary shares via the Winterflood Retail Access Platform. This initiative, alongside a separate £4 million placing, is designed to bolster the company’s financial position and support its strategic objectives. The retail offer is open to eligible UK investors, highlighting Renalytix’s commitment to engaging its retail shareholder base.

Despite these corporate developments, the company faces significant financial challenges, including declining revenues, high operating losses, and solvency concerns. While recent initiatives indicate strategic interest and potential growth, weak technical indicators and valuation metrics continue to weigh on the stock’s overall appeal.

About Renalytix Plc

Renalytix Plc operates in the healthcare sector, focusing on the development of diagnostic solutions for kidney disease. Its mission is to enhance patient outcomes and reduce healthcare costs through innovative diagnostic products.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

ITM Power (LSE:ITM) has signed a capacity reservation agreement with RWE for 150MW of its NEPTUNE V units, representing significant repeat business with a major industrial partner. The deal underscores the growing demand for ITM Power’s containerized green hydrogen solutions and reflects RWE’s confidence in the company’s technology and delivery capabilities, reinforcing ITM’s strategic standing in the green hydrogen sector.

Financially, the company faces challenges related to profitability and cash flow, which influence its overall outlook. Nevertheless, positive developments highlighted in earnings calls, including revenue growth and strategic initiatives, offer some optimism. Technical indicators and valuation metrics remain weak, limiting broader investment appeal in the near term.

About ITM Power

Founded in 2000 and listed on AIM in 2004, ITM Power is headquartered in Sheffield, England. The company designs and manufactures proton exchange membrane (PEM) electrolysers to produce green hydrogen from renewable electricity and water, serving a growing market for sustainable energy solutions.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.