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European equities advanced modestly on Tuesday, as investors continued to assess the impact of a new trade agreement between the United States and the European Union. The uptick in stocks also comes amid a fresh batch of corporate earnings and ahead of the Federal Reserve’s closely watched two-day policy meeting.

As of 07:05 GMT, Germany’s DAX gained 0.5%, France’s CAC 40 rose 0.2%, and London’s FTSE 100 added 0.1%.

Transatlantic Trade Deal Lifts Sentiment, but Concerns Linger

The trade agreement revealed over the weekend between Washington and Brussels brought some clarity to companies on both sides of the Atlantic, helping lift investor sentiment. While the reduction in trade uncertainty gave stocks a boost, the market’s response was measured.

Market analysts noted that the structure of the agreement appeared to favor U.S. interests, potentially dampening economic prospects for Europe.

The deal, which involves a 15% tariff on most European imports into the U.S. starting next month, was sharply criticized by French Prime Minister Francois Bayrou.

“It is a dark day when an alliance of free peoples, brought together to affirm their common values and to defend their common interests, resigns itself to submission,” Bayrou posted on X.

German Chancellor Friedrich Merz also expressed concern, warning the tariffs would cause “significant” harm to Germany’s economy.

Together, the U.S. and EU account for nearly one-third of global trade, making the agreement highly consequential for global markets.

Mixed Signals from European Corporates

On the earnings front, Stellantis (BIT:STLAM) provided an upbeat outlook for the remainder of the year. The automaker forecasted a return to revenue growth and stable low single-digit operating margins in the second half, marking a possible recovery from a challenging start to 2025. Stellantis also predicted stronger industrial free cash flow in the second half, after recording a cash burn of €3 billion ($3.48 billion) in the first six months.

Barclays (LSE:BARC) reported a stronger-than-expected 23% increase in first-half profits, driven in large part by gains in its markets division. The British bank saw a surge in trading activity following the announcement of U.S. trade tariffs.

AstraZeneca (LSE:AZN) surpassed second-quarter earnings expectations, thanks to robust sales of treatments for cancer, cardiovascular, and kidney conditions. However, the pharmaceutical giant maintained its full-year forecast due to ongoing pricing pressures and uncertainty over international trade flows.

In the healthcare sector, Philips (NYSE:PHG) posted a 47% decline in second-quarter net profit. The drop was attributed to the absence of a one-time insurance gain from the prior year. Despite the decline, the Dutch firm reported improvements in underlying metrics such as operating margin and free cash flow.

Construction chemicals maker Sika (TG:SIKA) managed to grow its profit margins in the first half of the year, even as reported revenues slipped due to currency headwinds.

Meanwhile, Air Liquide (EU:AI) announced higher first-half earnings and a stronger operating margin. The French industrial gas supplier credited cost discipline and solid investment in areas like energy transition and electronics for the performance.

Investors Turn Focus to Fed Policy Meeting

Attention now shifts to the Federal Reserve, which begins its two-day policy gathering later Tuesday. While most economists expect interest rates to remain steady, debate among Fed officials is likely to intensify over the potential for rate cuts in the near term.

Former President Donald Trump reignited that discussion on Monday by publicly urging the Fed to lower rates, arguing that such a move would benefit the American economy.

Oil Prices Steady Following Previous Session Gains

In the commodities market, crude oil prices hovered around unchanged levels in early European trading, stabilizing after strong gains the day before.

At 03:05 ET, Brent crude held steady at $69.32 per barrel, while U.S. West Texas Intermediate also remained flat at $66.71 per barrel.

The prior session saw both benchmarks rise by more than 2%, with Brent reaching its highest point since July 18. The gains followed news of the U.S.-EU trade deal, which helped ease fears of a broader trade conflict that could have dampened demand for oil.

A key component of the agreement includes a planned $750 billion worth of EU purchases of American energy supplies over the coming years.

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 nudged upward early Tuesday as traders braced for a packed week filled with major earnings reports, pivotal economic data, and a closely watched interest rate decision from the Federal Reserve. At the same time, renewed trade discussions between the U.S. and China in Sweden stirred cautious optimism that a temporary truce might be extended.

In a sign of robust demand from China, Nvidia has reportedly placed a fresh order for 300,000 H20 AI chips with Taiwan Semiconductor Manufacturing Co (TSMC), underscoring the region’s surging appetite for artificial intelligence hardware.

Modest Gains in U.S. Futures

Futures contracts tied to major U.S. indexes signaled a slightly positive open. As of 03:35 ET, Dow Jones Industrial Average futures ticked up by 27 points (0.1%), S&P 500 futures added 8 points (0.1%), and Nasdaq 100 futures rose 62 points (0.3%).

The S&P 500 closed Monday at another all-time high, buoyed by momentum from the weekend’s U.S.-EU trade deal. That agreement is part of a series of deals the Biden administration aims to finalize ahead of August 1, when increased “reciprocal” tariffs are expected to take effect.

Commenting on the deal, analysts at Vital Knowledge noted that the 15% tariff imposed on EU imports was widely anticipated: “that’s exactly what [markets] got.”

Beyond trade developments, investors are keeping a close eye on earnings surprises and the looming Fed announcement, especially with key inflation figures still to come.

Among early movers, Nike shares rallied after JPMorgan Chase upgraded the stock from “neutral” to “overweight.”

U.S.-China Trade Talks Continue in Sweden

Negotiators from Washington and Beijing are meeting again in Stockholm to explore the possibility of extending a fragile tariff ceasefire. Chinese Vice Premier He Lifeng and U.S. Treasury Secretary Scott Bessent were both seen attending discussions at the Swedish Prime Minister’s office, according to Reuters.

So far, no official statements have been made, but reports suggest that talks may pave the way for a 90-day extension of the current trade truce. U.S. Trade Representative Jamieson Greer downplayed expectations, noting that an “enormous breakthrough” was unlikely.

However, a potential extension could open the door to another summit between President Trump and Chinese leader Xi Jinping.

Earnings Season Ramps Up

This week marks a critical point in the corporate reporting calendar, with 164 S&P 500 companies set to deliver quarterly results.

Before Tuesday’s opening bell, earnings are expected from big names such as Merck, UnitedHealth Group, and Boeing. Procter & Gamble is also due to report, just a day after announcing the exit of CEO Jon Moeller.

Later in the day, Visa will take the spotlight. Analysts are watching closely to assess the health of U.S. consumers amid global tariff uncertainty, with Mastercard also in focus this week.

European companies also delivered notable results: AstraZeneca beat profit expectations, thanks in part to strong sales in oncology. Barclays exceeded income forecasts, helped by market volatility following Trump’s April tariff moves.

Meanwhile, Philips shares jumped after it raised its full-year margin outlook, having taken a smaller-than-expected tariff hit. On the other hand, Stellantis slipped after its new CEO flagged “challenges” despite forecasting stronger revenues in the latter half of the year.

Key U.S. Economic Data on Deck

Tuesday brings the latest JOLTS survey—a closely followed indicator of job openings and labor market health. Analysts forecast a slight dip to 7.51 million from the previous 7.77 million.

These labor metrics will set the tone ahead of more consequential releases, including the ADP payroll report and Friday’s July jobs numbers.

Also due is July’s consumer confidence index, which is expected to improve from June’s level.

In a note, analysts at ING said: “Ahead of tomorrow’s FOMC meeting, which could also prove dollar positive, today sees the release of US JOLTS job opening data and also July consumer confidence. The former is expected to show some stability (at around the 7500k mark) and the latter is expected to pick up in line with the strong stock market.”

The Federal Reserve kicks off its two-day meeting Tuesday, with markets broadly expecting no change to interest rates. Several Fed officials have hinted recently that maintaining current rates may be prudent until the economic effects of recent tariff moves become clearer.

Nvidia Boosts Chip Orders Amid Strong Chinese Demand

Nvidia has placed an order for 300,000 of its H20 AI chips with TSMC, Reuters reported, citing unnamed sources. This comes after the U.S. government reversed an earlier ban, allowing Nvidia to resume sales of the chips to Chinese firms.

The report stated the new order adds to an existing stockpile of 600,000 to 700,000 H20 chips. Around 1 million units were sold in 2024, according to estimates from SemiAnalysis.

While less powerful than Nvidia’s H100 or Blackwell chips, the H20 was developed specifically for the Chinese market. CEO Jensen Huang said during a recent appearance in Beijing that ramping up production could take as long as nine months.

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 continued to climb in early trading Tuesday, while the euro lost further ground after a major trade agreement between the United States and the European Union. Investors are also keeping a close eye on the Federal Reserve’s policy meeting, which begins later in the day.

As of 04:10 ET (08:10 GMT), the U.S. Dollar Index—which gauges the greenback against a basket of six major currencies—rose 0.2% to 98.607, extending the previous session’s upward move.

Dollar Finds Support from Transatlantic Deal

The greenback regained momentum following the announcement of a new trade framework between Washington and Brussels. Under the terms of the deal, a 15% import tariff will be applied to European goods entering the U.S.

In addition, the European Union has committed to invest approximately $600 billion in the United States and to significantly increase its purchases of American energy and defense-related products.

Meanwhile, attention is also turning to upcoming talks between the U.S. and China in Sweden. Media speculation suggests both countries might agree to prolong their current trade truce, which could ease global economic uncertainty.

With geopolitical tensions calming, focus has shifted to a wave of key economic data expected this week, starting with the Fed’s two-day policy meeting.

Among Tuesday’s top releases is the JOLTS report—a widely followed indicator of job vacancies and labor market trends. This will be closely watched ahead of Friday’s July nonfarm payrolls report, a key barometer for the U.S. economy.

Also on the docket is consumer confidence data from the Conference Board. Economists anticipate an uptick in sentiment compared to June.

“Ahead of tomorrow’s FOMC meeting, which could also prove dollar positive, today sees the release of US JOLTS job opening data and also July consumer confidence. The former is expected to show some stability (at around the 7500k mark) and the latter is expected to pick up in line with the strong stock market,” said analysts at ING, in a note.

Euro Slips Further Amid Unease Over Trade Terms

The euro continued its slide, with EUR/USD dropping 0.3% to 1.1559, deepening losses after a 1.3% plunge on Monday—its sharpest one-day decline in more than two months.

Concerns are rising across Europe that the bloc may have gotten the short end of the deal with Washington. French Prime Minister Francois Bayrou labeled it “a dark day,” while German Chancellor Friedrich Merz warned the agreement could bring “significant” economic harm to Germany.

“We have been arguing for some time that EUR/USD could come under pressure this quarter, and arguably, EUR/USD is now in a more fragile position than we had been expecting ahead of a big week for event risk,” said ING.

“EUR/USD price action remains very poor. And if it can’t rally above 1.1600/1625 on any good news today, it could well take out support – both at 1.1555 and 1.1500.”

The British pound also declined, with GBP/USD sliding 0.2% to 1.3335, touching its lowest level in two months.

“There is a technical case now for GBP/USD to trade down to the 1.3150 area. That is our preference in a week where we think the event risks are skewed to the positive for the dollar,” ING added.

Yen Steady Ahead of Bank of Japan Decision

In Asia, the Japanese yen saw limited movement, with USD/JPY edging down 0.1% to 148.41 after modest gains the day before.

The Bank of Japan is widely expected to keep interest rates unchanged when it meets on Thursday, amid a backdrop of stable trade conditions and lingering political uncertainty at home. Some analysts, however, believe last week’s U.S.-Japan trade agreement might give Japanese policymakers room to consider a rate hike later this year.

Investor sentiment remains subdued in Japan following a major electoral setback for the ruling coalition in last week’s upper house vote, which has fueled rumors of a possible resignation by Prime Minister Shigeru Ishiba.

Elsewhere, AUD/USD declined 0.3% to 0.6503, adding to Monday’s 0.7% drop, while the Chinese yuan remained flat, with USD/CNY holding steady at 7.1777.

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 held steady in early Asian trading on Tuesday, consolidating strong gains from the previous session. The rally was fueled by growing supply concerns after U.S. President Donald Trump shortened the timeline for Russia to act toward ending the conflict in Ukraine.

Crude markets also found support from recent progress in U.S. trade negotiations, particularly ahead of the August 1 tariff deadline. On Sunday, the European Union signed a framework agreement with the U.S., easing fears of escalating tariffs and boosting the demand outlook for energy.

As of 21:53 ET (01:53 GMT), September Brent crude futures inched up 0.1% to $70.09 per barrel. U.S. West Texas Intermediate (WTI) crude was unchanged at $66.74 a barrel.

Monday’s session saw both benchmarks surge over 2% following Trump’s announcement concerning Russia, with supply risks dominating market sentiment.

Trump’s Deadline for Russia Raises Geopolitical Stakes

The geopolitical landscape grew more uncertain after President Trump demanded Russia make visible progress toward ending the war in Ukraine within the next 10 to 12 days.

He also warned of harsh consequences, including new sanctions, should Russia fail to meet the deadline — a move that heightened concerns about potential disruptions to Russian crude exports and tightened global supply forecasts.

“No deal could see Russia facing tougher US sanctions, along with the US imposing secondary tariffs of 100% on trading partners that import Russian oil,” ING analysts said in a note.

“If imposed and enforced strictly, it would cause a significant shift in the oil outlook,” analysts wrote, pointing to increased Russian crude imports by India, China, and Turkey since the onset of the conflict. They noted that these nations may now need to balance the benefit of discounted oil against the risk of steep U.S. tariffs.

Focus on Trade Progress, OPEC+, and the Fed

Traders also digested the implications of Sunday’s U.S.–EU agreement, which lowered tariffs on most European exports to the U.S. from a planned 30% to 15%. The deal includes a pledge from the EU to purchase $750 billion in American energy products over the next few years.

Analysts noted that reduced trade friction combined with long-term demand commitments boosted market confidence and helped keep oil prices elevated.

On the production front, attention turned to OPEC+, where a technical committee urged members to fully adhere to output quotas. The cartel is scheduled to meet on August 3 and may consider raising production targets for September.

Despite the optimistic tone, traders remained cautious ahead of a batch of critical U.S. economic reports and the Federal Reserve’s policy decision. The central bank is expected to keep interest rates unchanged in the 4.25% to 4.50% range when it concludes its two-day meeting that starts Tuesday.

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.

Filtronic plc (LSE:FTC) delivered a year of transformative growth for the fiscal year ended 31 May 2025, reporting sharp increases in revenue, operating profit, and adjusted EBITDA. The company secured record order intake in the space sector, driven by high-profile contracts with SpaceX, Viasat, and other major players, while also deepening its presence in the defense market.

Strategic milestones during the year included the expansion of manufacturing capacity, the adoption of Gallium Nitride (GaN) technology, and the launch of new high-frequency RF products. These developments have strengthened Filtronic’s position in its core markets and support a strong outlook for FY2026, backed by a healthy financial position and robust order pipeline.

While the company’s valuation appears elevated, its strong technical indicators and continued contract momentum underpin a solid overall outlook.

About Filtronic

Filtronic is a specialist in advanced microelectronics, focusing on mission-critical communication networks across the RF spectrum. With over 45 years of experience, it serves sectors including space, defense, aerospace, telecom infrastructure, and public safety. Filtronic operates from two global manufacturing facilities and three engineering centers, and is listed on the AIM market of the London Stock Exchange.

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.

Barclays PLC (LSE:BARC) reported strong interim results for the first half of 2025, demonstrating solid financial performance across its core business segments. The bank highlighted effective risk management and a resilient balance sheet, with the use of non-IFRS metrics providing clearer insights into operational trends. Barclays continues to actively engage with investors globally, reinforcing transparency around its strategic priorities and market positioning. The group also maintained a prominent role in the debt capital markets.

Strong revenue growth, a stable financial foundation, and positive technical indicators suggest continued investor confidence. Despite macroeconomic uncertainties discussed in the earnings call, Barclays’ share buy-back program and upgraded guidance have strengthened its near-term outlook.

About Barclays

Barclays PLC is a globally diversified financial services group providing retail and business banking, credit cards, investment banking, and wealth management solutions. The firm operates across key regions including the UK, US, and Europe, offering tailored financial products to individuals, corporates, and institutional clients.

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.

Greggs plc (LSE:GRG) reported a 7% increase in total sales for the first half of 2025, navigating headwinds such as reduced footfall and weather-related disruptions. The company continues to pursue strategic expansion and innovation, opening new shops and evolving its menu to better align with changing consumer preferences. Investments in supply chain infrastructure are underway to support long-term growth, alongside an expanded frozen ‘Bake at Home’ range through a growing partnership with Tesco.

Greggs demonstrates solid financial health and trades at a reasonable valuation, supporting a positive investment case. However, technical analysis highlights a bearish trend, signaling potential short-term risk. The company’s strong leadership and ongoing strategic initiatives remain important drivers of confidence.

About Greggs plc

Greggs plc is a leading UK food-to-go retailer, widely recognized for its affordable, convenient offerings. Originally a bakery chain, Greggs has evolved into a modern convenience food brand with a wide selection of food and beverages, including coffee and breakfast items. Its network spans company-owned and franchise shops across retail and travel locations.

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.

Sylvania Platinum Limited (LSE:SLP) reported robust results for the fourth quarter ending June 2025, with a 3% increase in 4E PGM ounces produced and a record annual output of 81,002 4E PGM ounces. Net revenue rose 15% quarter-on-quarter, while EBITDA nearly doubled, driven by higher production volumes and rising platinum group metal (PGM) prices. The Thaba Joint Venture project has begun commissioning and is expected to significantly boost future production and revenue. The company also recorded its best-ever safety performance, achieving important milestones in injury-free operations, underscoring its commitment to operational excellence.

Sylvania Platinum’s strong operational metrics and positive corporate developments contribute to a favorable overall outlook. Despite a stable financial position, some challenges remain, including declining revenue trends and negative free cash flow. However, the company’s attractive valuation and high dividend yield add to its investment appeal.

About Sylvania Platinum

Sylvania Platinum Limited is a low-cost producer of platinum group metals—including platinum, palladium, and rhodium—based in South Africa. It specializes in retreating PGM-rich chrome tailings from mines within the Bushveld Igneous Complex, making it the industry leader in chrome tailings reprocessing. The company also holds mining rights in the Northern Limb of the BIC and is actively developing the Thaba Joint Venture, currently in commissioning phase.

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.

Card Factory (LSE:CARD) has completed the purchase of Funky Pigeon from WH Smith PLC for £24 million, advancing its digital and omnichannel ambitions. This deal positions Card Factory as the UK’s second-largest online retailer of cards and gifts. By integrating Funky Pigeon’s technology platform, the company aims to boost operational efficiency and enhance customer experience, with expected annual synergies and earnings improvements exceeding £5 million. The acquisition will be financed using existing debt facilities, keeping leverage impact minimal, and is forecasted to deliver solid returns to shareholders.

Card Factory’s outlook is supported by strong financial results and appealing valuation metrics, offering promising growth and income opportunities. While short-term technical signals indicate some volatility, the company’s long-term prospects remain encouraging thanks to strategic growth initiatives and positive market sentiment.

About Card Factory

Card Factory is the UK’s foremost specialist retailer of greeting cards, gifts, and celebration products, catering to a broad range of occasions. The company emphasizes a balanced approach across its physical stores and expanding digital channels.

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.

Games Workshop Group PLC (LSE:GAW) has declared a dividend of 55 pence per share, raising the total dividend payout for the 2025/26 financial year to £1.40 per share, up from £1.00 the previous year. This increase aligns with the company’s consistent dividend policy and underscores its dedication to delivering shareholder value, which may strengthen investor confidence and enhance its market standing.

The company’s robust financial performance and favorable corporate developments are key drivers behind the positive outlook for its shares. Although the stock trades at a relatively high price-to-earnings ratio, the attractive dividend yield provides a compelling element for investors. Technical signals show moderate strength, supporting an optimistic market view.

About Games Workshop

Games Workshop Group PLC is a leading player in the tabletop miniature wargaming sector, best known for its Warhammer range. The company designs, manufactures, and markets fantasy miniatures and games to a worldwide community of hobbyists and collectors.

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.