European Shares Seen Tad Higher As Sino-US Trade Talks Enter Second Day

(RTTNews) - European stocks are likely to open higher on Tuesday as U.S.-China trade talks continue for a second day in London to defuse tensions over chip exports and critical minerals.

There was no significant breakthrough after the first day of negotiations but U.S. President Donald Trump told reporters at the White House that the talks were "going well" and that he was "only getting good reports".

U.S. Treasury Secretary Scott Bessent told reporters the meeting was "good" while Commerce Secretary Howard Lutnick called the discussions "fruitful."

Asian markets were broadly higher and U.S. stock futures ticked higher on hopes for progress in high-level trade talks and amid expectations of more stimulus from Beijing.

The dollar held steady in light trading ahead of key U.S. inflation and consumer sentiment reports due this week. Gold edged lower while oil extended overnight gains to hover near multi-week highs.

The European economic calendar remains light, with unemployment data from the U.K. and industrial production figures from Italy awaited later in the day.

On the geopolitical front, Russia carried out "massive" drone attacks on Ukraine's capital Kyiv and port city of Odesa early today, killing one person and hitting a maternity hospital, Ukrainian officials said.

French President Emmanuel Macron called Israel's blockade of Gaza and its obstruction of humanitarian aid "outrageous", while urging an immediate ceasefire, the release of all detainees, and the reopening of border crossings.

U.S. stocks ended mixed overnight as investors waited for details about the U.S.-China trade talks that kicked off in London to resolve trade issues between the two economic giants.

The S&P 500 inched up marginally to extend gains for a second straight session and the tech-heavy Nasdaq Composite gained 0.3 percent to reach a new three-month closing high, while the narrower Dow ended marginally lower.

European stocks settled lower on Monday after a cautious session. The pan European STOXX 600 ended flat with a negative bias.

The German DAX dipped half a percent, France's CAC 40 slid 0.2 percent and the U.K.'s FTSE 100 finished marginally lower.