European Stocks Edge Higher Amid US-China Trade Truce and Positive Earnings

European stocks have wrapped up a robust week of gains, buoyed by the positive impact of a trade truce between the U.S. and China and stronger-than-expected earnings reports. Luxury group Richemont played a key role in pushing the STOXX 600 to its fifth consecutive weekly rise, climbing 2.2%.

Despite the positive momentum, market watchers, like Nabil Milali of Edmond de Rothschild, advised caution as potential challenges in EU-U.S. trade negotiations loom. Meanwhile, the global oil market saw fluctuations, with prices rising post-U.S.-China deal and falling due to increased supply pressures.

Investors remained wary as the U.S. economic indicators, such as retail sales and producer prices, suggested mixed signals, influencing bond yields and currency valuations. Analysts warned that the ongoing tariff impacts could soon affect broader economic data, adding a layer of uncertainty to the market outlook.

(With inputs from agencies.)