European Stocks, U.S. Futures Follow Asia Higher on Tariff Deal Hopes

By Dow Jones Newswires StaffEuropean stocks and U.S. futures followed those in Asia higher on hopes of possible tariff deals with the U.S., while China said it will "fight to the end" against the Trump administration's tariffs.Asian stock markets broke their losing streak to end higher, lead by Japan's Nikkei, which closed up 6%. After another roller-coaster day on Wall Street on Monday, U.S. stock futures pointed higher and European markets rose at the open.U.S. stock futures for the S&P 500 rose 1.6% early in Europe, with those for the Dow Jones Industrials up 1.9%.Chinese shares rebounded after a Monday's sell off. State-owned companies, including oil giants PetroChina and Sinopec, announced plans to boost share buybacks to stabilize the market and restore investor confidence. The benchmark Shanghai Composite Index ended 1.6% higher."The U.S. threat to escalate tariffs on China is a mistake on top of a mistake, which once again exposes the U.S.'s blackmail nature," said a statement from China's Ministry of Commerce earlier. "If the U.S. insists on its own way, China will fight to the end."Elsewhere, South Korea's benchmark Kospi rose 0.3%. Samsung Electronics rose 0.6% after its preliminary first quarter earnings beat market consensus. Memory-chip maker SK Hynix gained 2.9%. Australia's S&P/ASX 200 closed 2.3% higher at 7510.0, rebounding from its worst day since March 2020 with its best performance since November 2022.Early in Europe, major stock markets also rose. The Stoxx Europe 600 gained 1.2%. France's CAC 40 was up 1.5% at the open, and Germany's DAX rose 0.7%. The U.K. blue chip FTSE 100 added 1.4%. The Stoxx 600 banks index edged up 0.4% after three days of heavy declines.The dollar fell, with the DXY dollar index against a basket of major currencies last down 0.3% at 102.918, having reached a six-month low of 101.267 last Thursday.U.S. Treasurys extended Monday's selloff, with yields rising further early in Europe. The 10-year U.S. Treasury yield was last up about two basis points at 4.173%, according to Tradeweb.Sterling fell to an eight-month low against the euro. "The euro's high liquidity character continues to shield it from the much bigger volatility that has affected the likes of the Norwegian krone, Swedish krona and sterling in the past few sessions," ING analyst Francesco Pesole said in a note.In commodities, Brent crude climbed 0.6% to $64.61 a barrel, and WTI crude gained 0.7% to $61.10 a barrel. The European benchmark price for natural gas, the Dutch futures contract TTF, was down 1.3% to 36.53 euros a megawatt hour.Write to Barcelona Editors at [email protected]