FTSE Steady Amid Trade Truce and Cooling UK Labour Market

The FTSE 100 remained largely stable on Tuesday after a rally driven by a U.S.-China trade truce, while new data from the UK indicated a cooling labor market that might affect the Bank of England's upcoming rate decisions. As of 1050 GMT, the FTSE 100 rose by just 0.07%, with the midcap index seeing a 0.5% gain.

The White House announced a cut in the low-value "de minimis" tariffs on Chinese shipments to further ease tensions between the United States and China, the world's two largest economies. This move followed a weekend declaration from both nations agreeing to a 90-day pause on most tariffs imposed since April, after discussions in Geneva.

Moreover, official data underline Britain's sluggish employment figures and subdued wage growth, factors likely to assure the Bank of England that inflationary pressures are diminishing. Last week, the central bank opted to cut rates by 25 basis points to counter the anticipated effects of U.S. tariffs initiated by President Trump, though a surprising dissent among policymakers has tempered expectations of swift future changes.

(With inputs from agencies.)