European Markets Seen Opening Mixed On Monday

(RTTNews) - Stock markets in Europe are expected to open on a mixed note on Monday as relief at the extension of the tariff deadline to August 1 and warnings of fresh tariffs on countries that align with BRICS policies are both expected to sway sentiment. The 17th BRICS Summit started on Sunday in Brazil's Rio de Janeiro.

Wall Street had closed on a positive note on Thursday as strong labor market data cemented the view of a resilient economy. The Dow Jones Industrial Average added 0.77 percent to finish trading at 44,828.53. The Nasdaq Composite also rallied 1.02 percent to close trading at a record high of 20,601.10. Equity markets in the U.S. were closed on Friday for Independence Day.

European markets had however closed on a negative note on Friday as persisting trade tensions with the United States dampened sentiment. The pan-European Stoxx-50 tumbled more than a percent. France's CAC 40 plunged 0.75 percent. Germany's DAX lost 0.61 percent. Switzerland's SMI edge down 0.05 percent whereas U.K.'s FTSE 100 closed on a flat note.

Current indications from the European stock futures indicate a mildly positive sentiment. The DAX Futures (Sep) is trading 0.21 percent higher. The CAC 40 Futures (Jul) has increased 0.11 percent. The FTSE 100 Futures (Sep) has added 0.17 percent. The pan-European Stoxx 50 Futures (Sep) has edged up 0.08 percent. The SMI Futures (Sep) had closed 0.07 percent lower on Friday.

American stock futures are trading below the flatline. The US 30 (DJIA) is trading 0.32 percent lower, whereas the US500 (S&P 500) is trading 0.49 percent below the flatline.

Asian stock markets are trading on a mostly negative note amidst fresh tariff warnings by President Trump on the BRICS nations. Japan's Nikkei 225 has dropped 0.62 percent. Hong Kong's Hang Seng has declined 0.34 percent. Australia's S&P ASX 200 is trading 0.18 percent lower ahead of the widely expected rate cut by Reserve Bank of Australia. China's Shanghai Composite has slipped 0.15 percent. India's Nifty 50 has edged down 0.04 percent. South Korea's KOSPI has however edged up 0.30 percent. DJ New Zealand has also rallied 0.44 percent.

The Dollar Index, a measure of the U.S. dollar's strength relative to six currencies, is trading at 97.15, close to the flatline. Fresh tariff jitters boosted the greenback. The EUR/USD pair has in the meanwhile declined 0.12 percent to 1.1765 whereas the GBP/USD pair has dropped 0.27 percent to trade at 1.3616.

Gold prices softened amidst the dollar's resilience and a decline in safe haven demand following President Trump extending the deadline for tariff increases from July 9 to August 1. Gold Futures for August settlement is trading at $3,316.81, which is 0.89 percent lower than the previous close of $3,346.50.

A larger-than-expected output hike by the OPEC+ in August dragged down crude oil prices. Oil prices have tumbled close to half a percent from Friday's levels. Brent Crude Futures for September settlement is at $68.00 versus $68.30 a day ago. WTI Crude Futures for August settlement is at $66.26 versus $66.50 at close on Friday. Major data updates due from the region include Industrial Production for May from Germany, Halifax House Price Index for June from U.K. as well as Retail Sales data for May from the Euro Area.

Major updates to earnings due from the region include Fabege, Lexibook Linguistic Electronic System, Eco Animal Health Group as well as Kromek Group.