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European equities rose modestly on Tuesday as investors weighed the implications of a delayed U.S. trade deadline and evaluated fresh data out of Germany.

By 07:05 GMT, Germany’s DAX was up 0.3%, France’s CAC 40 gained 0.1%, and the UK’s FTSE 100 also inched 0.1% higher.

Trump Eases Tariff Deadline, Fueling Optimism

Investor sentiment in Europe received a slight lift following signs of flexibility from Washington on international trade deals. On Monday, President Donald Trump signed an executive order moving the deadline for finalizing trade agreements from July 9 to August 1. He emphasized that the new date was “not set in stone”, leaving the door open for further talks.

The White House also unveiled a list of 14 countries facing potential tariff hikes — including Japan, South Korea, Indonesia, Serbia, and Tunisia — with 25% duties threatened for major allies unless new agreements are reached.

However, these new measures will not be applied cumulatively with previously announced industry-specific tariffs on autos, steel, and aluminum, offering some relief to targeted sectors.

The European Union was notably absent from the tariff list. A spokesperson for the European Commission said discussions between Commission President Ursula von der Leyen and Trump were constructive, with both sides still aiming to conclude a deal by Wednesday.

Germany’s Export Sector Hit by Tariff Anxiety

In economic data, German exports declined 1.4% in May compared to the previous month, far worse than the 0.2% drop analysts had expected. The slump was driven largely by weakening demand from the United States, with exports to that market falling 7.7% on the month.

The decrease comes after months of elevated export activity, as buyers likely front-loaded orders to beat anticipated tariff increases.

Novartis Scores Milestone in Pediatric Malaria Treatment

On the corporate front, Novartis (BIT:1NOVN) announced regulatory approval in Switzerland for its new Coartem Baby treatment — the first malaria drug formulated specifically for infants and young children.

Meanwhile, OMV (TG:OMV), the Austrian oil and gas group, reported in a trading update that weaker energy prices and lower production volumes weighed on its second-quarter performance. However, it noted a rise in chemical margins that helped offset part of the decline.

Crude Oil Slips on Tariff Fears and OPEC+ Output Boost

Oil markets retreated as traders assessed the broader economic fallout of potential trade disruptions. Concerns over dampened global demand and increased supply from OPEC+ put additional downward pressure on prices.

As of 03:05 ET, Brent crude futures had fallen 0.5% to $69.25 per barrel, while West Texas Intermediate (WTI) was down 0.6% to $67.50.

The OPEC+ alliance announced over the weekend that it plans to ramp up production by 548,000 barrels per day in August, a notable increase compared to the 411,000 bpd additions seen in the previous three months.

The prospect of higher output combined with trade-related uncertainty has added to concerns that the global oil market may face a short-term oversupply.

Gold prices hovered near flat in Asian trading Tuesday as markets digested a fresh wave of tariff-related headlines from U.S. President Donald Trump. While safe-haven demand initially lifted bullion, a stronger dollar kept overall gains in check.

The precious metal had climbed on Monday after Trump published a series of letters proposing steep tariffs on several key Asian and African economies. However, his decision to delay the implementation deadline to August 1 and his expressed willingness to continue negotiations tempered investor anxiety.

The U.S. dollar gained ground in the wake of Trump’s announcement, with sentiment buoyed by stable U.S. rate expectations—adding pressure on commodities priced in greenbacks, including gold.

By 01:22 ET (05:22 GMT), spot gold slipped slightly to $3,334.22 an ounce, while September gold futures were unchanged at $3,343.70 per ounce.

Tariff Talk Fuels Uncertainty, Boosts Risk Sentiment

President Trump said Monday that the August 1 tariff deadline was not set in stone, leaving the door open for further dialogue with trade partners. His remarks followed the extension of a prior July 9 deadline, encouraging hopes for a de-escalation in trade tensions.

This softer stance gave risk assets room to rally, pushing Asian equities higher and helping U.S. stock futures recover from earlier declines. However, the relief was tempered by the actual contents of Trump’s letters, which proposed aggressive import duties:

• 25% tariffs on imports from South Korea, Japan, Malaysia, and Kazakhstan
• 30% on South Africa
• 32% on Indonesia
• 35% on Bangladesh
• 36% on Thailand

While those letters initially dented investor sentiment on Wall Street, they also prompted increased buying in gold as a hedge against geopolitical volatility.

Still, gold has been largely rangebound in recent weeks, supported by periodic bursts of safe-haven demand but restrained by firm U.S. economic data. Bullion remains just shy of the $3,500 per ounce all-time high reached earlier this year.

Dollar Strength Limits Metals Rally Ahead of Fed Minutes

The U.S. dollar eased slightly in early Asian trade but remained elevated following a sharp overnight rally. Trump’s tariff maneuvers and upbeat economic indicators have fueled expectations that the Federal Reserve will hold rates steady, diminishing the appeal of non-yielding assets like gold.

Traders are also looking ahead to the release of the Fed’s June meeting minutes later this week, which could offer further guidance on the central bank’s monetary policy direction. The Fed has so far shown little urgency to ease, maintaining a cautious stance in light of persistent inflationary pressures.

Stronger dollar momentum capped gains across the broader metals complex.

• Platinum futures edged up 0.1% to $1,383.75/oz
• Silver futures rose 0.3% to $37.008/oz, with both metals trading near multi-year highs

In the industrial metals space,

• London copper futures added 0.2% to $9,839.80 per metric ton
• U.S. copper futures rose 0.4% to $5.0260 per pound, reflecting continued optimism over global demand despite trade jitters.

The U.S. dollar pulled back in early Tuesday trading, paring gains made overnight after President Donald Trump escalated trade tensions with a new wave of tariff threats. Meanwhile, the Australian dollar rallied sharply after the country’s central bank defied expectations and kept interest rates unchanged.

As of 04:10 ET (08:10 GMT), the U.S. Dollar Index dipped 0.2% to 96.910, after touching an overnight high of 97.280.

Dollar Reverses as Markets Weigh Tariff Flexibility

The dollar had initially surged after President Trump revealed he had sent formal tariff notices to 14 countries, including Japan and South Korea, indicating 25% import duties would take effect starting August 1.

An accompanying executive order extended the original July 9 deadline for trade agreements, with Trump suggesting the date was “firm, but not 100% firm,” leaving room for negotiation.

Analysts at ING noted that markets are increasingly viewing the latest tariff developments as part of an extended negotiating strategy rather than a firm policy shift. They expect the Dollar Index (DXY) to trade within a 96.50–98.00 range, with the next major catalyst being June’s U.S. inflation data.

Euro Rises on Trade Hopes, Despite Weak German Exports

The euro (EUR/USD) climbed 0.5% to 1.1761, buoyed by optimism that the European Union could strike a favorable trade deal with Washington. The EU was notably excluded from the new tariff list, and a spokesperson for the European Commission said talks between Trump and Commission President Ursula von der Leyen had been constructive.

ING highlighted that the EU’s large consumer base may give it leverage in negotiations, potentially helping to maintain the current 10% U.S. tariff rate on European goods while securing exemptions for sensitive sectors like aerospace and beverages.

Despite the positive sentiment, data showed German exports fell by 1.4% in May, with shipments to the U.S. down 7.7% month-over-month, as previous frontloading of orders ahead of tariffs tapered off.

Sterling Steady on Hawkish BoE Expectations

The British pound (GBP/USD) gained 0.3% to 1.3642, continuing to hover near last week’s high of 1.3787, the strongest level since October 2021.

The U.K.’s early trade deal and persistent inflation pressures have helped support the pound, with the Bank of England expected to maintain a hawkish stance relative to other central banks.

Australian Dollar Soars as RBA Surprises with Rate Hold

In Asia, the Australian dollar (AUD/USD) jumped 0.7% to 0.6543 after the Reserve Bank of Australia left interest rates unchanged, against market expectations for a rate cut.

The RBA said it preferred to wait for more clarity on inflation trends and highlighted ongoing uncertainty tied to global risks, particularly new U.S. tariff measures.

While Australian inflation has declined significantly from its 2022 peak, the central bank pointed to recent data showing slightly firmer-than-expected CPI as justification for its cautious stance.

Elsewhere, USD/JPY edged up 0.1% to 146.10, as the yen stabilized following a sharp overnight drop. USD/CNY slipped 0.1% to 7.1715 amid broader trade uncertainty.

London’s FTSE 100 index opened flat on Tuesday as investors digested fresh developments in global trade policy, following U.S. President Donald Trump’s latest tariff announcements. Market participants remained cautious, awaiting further signals on upcoming trade negotiations.

As of 07:32 GMT, the FTSE 100 edged up by 0.01%, while the British pound strengthened by 0.3%, surpassing the $1.36 mark against the dollar. Elsewhere in Europe, Germany’s DAX rose 0.2%, while France’s CAC 40 slipped 0.2%.

Trump Adjusts Tariff Timeline, Targets Key Trade Partners

President Trump issued an executive order on Monday, extending the deadline for trade agreement negotiations to August 1. While the White House signaled a willingness to negotiate, Trump confirmed the deadline could shift depending on progress made with foreign governments.

He also outlined new tariff rates impacting 14 countries, warning that Japan and South Korea could face 25% duties on their exports if no agreement is reached.

SIG Shares Drop on Soft Demand; New CEO Announced

Shares in SIG PLC (LSE:SHI) fell over 3.4%, placing it among the biggest FTSE 250 decliners. The construction materials group reported subdued demand during the first half of 2025 and voiced caution for the months ahead.

Despite these challenges, SIG maintained its full-year profit guidance in line with market expectations and announced Pim Vervaat as the incoming CEO, effective later this year.

Glencore Gains on JPMorgan Upgrade

Shares in mining and trading giant Glencore (LSE:GLEN) rose 1.6% after J.P. Morgan reinstated its coverage of the stock with an “overweight” rating and a price target of £3.60 by December 2026, implying around 20% potential upside.

Analysts cited Glencore’s improving production outlook, capital return strategy, and operational flexibility as key strengths. However, the note also acknowledged the company’s recent underperformance, having trailed the MSCI Europe index by 45% since May 2024, driven in part by falling coal prices and softer earnings results.

Oil prices edged lower during early Tuesday trading in Asia, as markets reacted to rising geopolitical tension fueled by fresh U.S. trade tariffs and concerns over increased global oil supply from the OPEC+ alliance.

By 01:40 GMT (21:40 ET Monday), Brent crude futures for September delivery slipped 0.7% to $69.11 per barrel, while West Texas Intermediate (WTI) fell by the same margin to $67.46. This pullback came after both benchmarks climbed over 1% on Monday, supported by expectations of sustained market tightness despite looming supply increases.

Trump Targets Trade Partners with Sweeping Tariff Threats

U.S. President Donald Trump intensified his protectionist trade agenda on Monday, issuing formal notices to 14 countries about forthcoming tariff hikes set to take effect on August 1. Key Asian trading partners Japan and South Korea were among those notified of a 25% tariff across all exports, while other nations, including Thailand, Serbia, and Tunisia, face potential levies of up to 40%.

Trump’s executive order extended the initial July 9 deadline, offering additional time for negotiations but warning that the August 1 timeline remains largely fixed. The uncertainty surrounding the implementation of these tariffs — particularly for major energy-consuming nations like Japan, South Korea, and India — has raised fears of disrupted global trade flows and weakened industrial demand.

OPEC+ Signals Bigger Supply Boost as Cuts Wind Down

Meanwhile, the spotlight remains on OPEC+ after the oil-producing coalition announced a production increase of 548,000 barrels per day for August, exceeding the monthly hikes of 411,000 bpd seen in the preceding three months. The group also hinted at a similar potential rise in September, which will be reviewed during its upcoming meeting on August 3.

This expansion continues the unwinding of the voluntary 2.2 million bpd in supply cuts led by key producers like Saudi Arabia and Russia, aimed at stabilizing oil markets earlier in the year.

Although oil prices tumbled early Monday on the news of higher supply, they rebounded later after Saudi Arabia raised the official selling price (OSP) of its Arab Light crude to Asian buyers for August delivery — a move interpreted by traders as a vote of confidence in demand recovery.

Audioboom (LSE:BOOM) delivered a robust Q2 2025 performance, with adjusted EBITDA soaring 400% and gross profit increasing 35%. Growth was driven by the expansion of the Audioboom Creator Network and the strong results from its Showcase advertising marketplace. The company also launched a new partnership with Gumball FM, introducing AI-powered Adaptive Ads to enhance monetization options for creators. With over $70 million in booked revenue for 2025, Audioboom’s solid financial foundation positions it well for continued growth in the second half of the year, despite ongoing global economic uncertainties.

About Audioboom

Audioboom is a global podcasting leader, with 100 million monthly downloads from 38 million unique listeners worldwide. Ranked as the fifth largest podcast publisher in the US by Triton Digital, the company offers a scalable ad-tech and monetization platform providing commercial, distribution, marketing, and production services to top-tier podcasts. Audioboom operates internationally through partnerships across North America, Europe, Asia, and Australia, distributing content on platforms including Apple Podcasts, YouTube, and Spotify.

Synectics plc (LSE:SNX) reported impressive first-half 2025 results, with revenue up 35% to £35.5 million and underlying operating profit rising 48% to £3.3 million. The company credits robust demand in the leisure and hospitality sector alongside significant contract wins, including agreements with West Midlands Police and a major gaming resort in Southeast Asia. Maintaining a debt-free status and a healthy cash position, Synectics is well-positioned to support organic growth and pursue strategic acquisitions. Its refreshed strategy emphasizes expanding market reach, investing in technology, and strengthening partnerships to drive long-term growth and value creation.

The company’s outlook is positive, underpinned by strong financial performance and strategic progress. Technical indicators are mixed, resulting in a neutral market signal, while valuation metrics suggest the stock is fairly valued. Lack of recent earnings call data means no additional impact from that aspect.

About Synectics

Synectics plc specializes in advanced security and surveillance solutions, integrating systems, technology, and data to enhance safety and operational efficiency. The company serves critical infrastructure, energy, public spaces, transport, and leisure sectors, leveraging deep technical expertise and partnerships to deliver innovative, tailored solutions.

Victrex plc (LSE:VCT) recorded an 8% rise in sales volume for Q3 2025 year-on-year, fueled primarily by growth in its Sustainable Solutions segment. However, revenue declined 3% due to a less favorable sales mix and lower average selling prices. The Medical division, especially the Spine segment, experienced softness amid industry-wide destocking and increased competition. Operational challenges at the company’s new manufacturing facility in China are being addressed, while capital expenditure is expected to remain below prior guidance. Despite currency pressures, Victrex continues to exercise strong cost control and efficiency improvements. The company anticipates high single-digit volume growth for the full year, focusing on sustainable medium to long-term growth.

Victrex’s outlook benefits from solid financial footing and encouraging earnings guidance, although technical indicators and margin pressures present caution. An appealing dividend yield supports the valuation, offsetting some operational and currency risks.

About Victrex

Victrex is a global leader in high-performance polymer solutions, serving key markets including Automotive, Aerospace, Energy & Industrial, Electronics, and Medical. The company’s sustainable materials are vital components in products ranging from smartphones and aircraft to cars and medical devices. With over four decades of expertise, Victrex is broadening its portfolio into semi-finished and finished products, aiming to boost environmental impact and shareholder value.

SIG plc (LSE:SHI) reported a slight 1% increase in like-for-like revenue for the first half of 2025, with underlying operating profit expected to rise to around £15 million, up from £12 million during the same period last year. Although the company continues to face market pressures, it has maintained strong cash flow and is actively pursuing cost reduction and efficiency initiatives. Additionally, SIG announced that Pim Vervaat will assume the role of CEO and Chair designate starting October 2025, marking a planned shift in leadership. The company’s full-year outlook remains stable, positioning it to capitalize on a potential market recovery.

Despite positive developments, SIG faces notable financial challenges and valuation concerns, with shares appearing somewhat overvalued. Nevertheless, ongoing corporate actions and some technical support help temper the cautious sentiment. Financial performance and profitability remain the primary constraints affecting the company’s assessment.

About SIG plc

SIG plc is a prominent European supplier specializing in insulation and building products. It delivers a broad portfolio of construction materials and solutions across multiple European markets, serving a diverse range of customers in the construction industry.

Begbies Traynor Group plc (LSE:BEG) has celebrated its tenth straight year of growth, reporting strong increases in both revenue and EBITDA for the year ending 30 April 2025. Revenue climbed by 12%, driven by a combination of organic expansion and acquisitions, while adjusted EBITDA rose 11%. The group sustained a healthy financial position, finishing with a net cash balance of £0.9 million, underpinned by solid cash flow and strategic reinvestments. Begbies Traynor continues to lead the market in business recovery and advisory services, with notable growth in its property advisory division. The company remains optimistic about maintaining its upward trajectory, supported by favorable market conditions and an expanded team of professionals.

While the company’s financial performance and positive corporate developments are strong, valuation concerns remain due to a relatively high price-to-earnings ratio. Technical indicators suggest a steady outlook, supporting a cautiously optimistic investment perspective.

About Begbies Traynor

Begbies Traynor Group plc is a premier financial and real estate advisory firm employing over 1,300 professionals across 45 UK offices and four international locations. The company offers a wide range of services, including restructuring, financial and deal advisory, funding solutions, valuations, asset advisory, auctions, project development, property management, and insurance. Its multidisciplinary teams of insolvency practitioners, accountants, lawyers, funding experts, and chartered surveyors work collaboratively to enhance, protect, and unlock value for clients’ businesses and assets.