Trade Triumph: U.S.-EU Tariff Slash Sparks Wall Street Surge

In a significant economic development, Wall Street futures climbed on Monday, buoyed by a new trade agreement between the United States and the European Union. The announcement of the framework deal, which halves import tariffs to 15%, was made by U.S. President Donald Trump and European Commission President Ursula von der Leyen on Sunday, setting a positive tone for the week amid major corporate earnings, a Federal Reserve meeting, and a looming tariff deadline.

The anticipation propelled the S&P 500 and Nasdaq to record highs on Friday, with major indexes reflecting solid weekly gains driven by multiple trade deals, including those with Japan and the Philippines. Markets await earnings from 'Magnificent Seven' tech companies and a crucial Fed meeting expected to hold interest rates steady, as analysts look for signals on future monetary policy directions.

Despite uncertainties such as the potential extension of the Sino-U.S. trade truce, Wall Street remains optimistic, with attention also on upcoming U.S. economic indicators like the Personal Consumption Expenditure report. Meanwhile, tech-related stocks surged, including companies linked to Ethereum, benefiting from a recent spike in prices.

(With inputs from agencies.)