U.S.-EU Trade Pact Boosts Global Markets

The global stock market experienced a surge, and the euro strengthened as a trade deal between the United States and the European Union provided some market clarity. The agreement, which imposes a 15% import tariff on most EU goods, was welcomed as it prevented a larger trade conflict.

Countries are under pressure to finalize trade agreements before the August 1 deadline set by U.S. President Donald Trump. Meanwhile, the imminent talks between the U.S. and China in Stockholm are anticipated to extend their truce by another 90 days, aligning with controlled diplomacy over confrontation.

European and U.S. futures saw substantial growth with the euro gaining strength against major currencies. While markets appeared buoyant, seasoned analysts advised caution, given the already high pricing of good news. As the week progresses, investor focus will shift to key central bank meetings and earnings reports from major tech companies.

(With inputs from agencies.)