US Futures Mixed, European Stocks Rise Amid Global Market Volatility

US futures for the S&P 500 are flat, while futures for the Dow Jones Industrial Average decline 0.3%. The Stoxx Europe 600 rises 0.6%, with Neste and Reckitt Benckiser Group up 13.7% and 8.8%, respectively. Brent crude and WTI crude prices increase 0.6% and 0.8%, respectively. German 10-year Bund yield rises to 2.677%, and US 10-year Treasury yield climbs to 4.403%.

US futures for the S&P 500 are flat, while futures for the Dow Jones Industrial Average decline 0.3%. The Stoxx Europe 600 rises 0.6%, with Neste and Reckitt Benckiser Group up 13.7% and 8.8%, respectively. Brent crude and WTI crude prices increase 0.6% and 0.8%, respectively. German 10-year Bund yield rises to 2.677%, and US 10-year Treasury yield climbs to 4.403%.

On Monday, the U.S. stock market opened higher, with the Dow Jones Industrial Average surging over 200 points. This rally was fueled by the announcement from the U.S. President that the United States and Japan had reached a significant trade agreement, raising market expectations for further trade deals before the August 1 deadline for tariffs [2]. Meanwhile, the European Union is preparing to impose retaliatory measures on 100 billion euros worth of U.S. goods.

The U.S. stock market closed mixed on Tuesday, with the S&P 500 Index edging up 0.06% to close at a new record high for the second consecutive trading day. The Dow Jones Industrial Average rose nearly 180 points, while the tech-heavy Nasdaq Composite Index fell about 0.4% due to a decline in semiconductor stocks. The U.S. President announced on Tuesday evening that the United States and Japan had completed a "large-scale agreement" that includes imposing a 15% "reciprocal" tariff on Japanese exports to the United States. Japan has committed to investing 550 billion dollars in the United States [2].

Analysts noted that while the agreement may help alleviate market concerns about tariff risks in August, other major trading partners such as the European Union, Canada, and Brazil still face uncertainty. The U.S. President also mentioned ongoing discussions with European officials to push for a trade agreement with the EU. However, reports indicate that the EU is preparing to impose retaliatory tariffs of 30% on 100 billion euros worth of U.S. goods if no agreement is reached by the August 1 deadline [2].

The Stoxx Europe Automobiles and Parts index has jumped 4.3% after Japan and the U.S. reached a "massive" trade deal. Leading gains in the tariffs-sensitive sector are Porsche, last seen trading 7.4% higher, Stellantis, up 7%, and Volkswagen, up 6.4% [3]. Shares of Swiss fintech firm Temenos popped 21.2% by 10 a.m. in London (5 a.m. ET), taking the company to the top of the Stoxx 600 index. That came after the banking software company's Chief Financial Officer Takis Spiliopoulos told Reuters that tariff-related "wobbles" that hampered deal-making earlier this year were over [3].

Shares of German software giant SAP are around 2.3% lower after the company reported a 9% year-on-year revenue rise to 9.03 billion euros ($10.6 billion), shy of an LSEG-compiled consensus forecast of 9.08 billion euros. Operating profit came in just ahead of estimates at 2.57 billion euros, up 32% year-on-year. Europe's biggest listed firm reiterated its full-year 2025 outlook, despite noting that the "prevailing dynamic environment implies elevated levels of uncertainty and reduced visibility" [3].

Shares of Dutch semiconductor equipment manufacturer ASM International were down 10% by 8:45 a.m. London time (3:45 a.m. ET). The company reported its second-quarter results after the close on Tuesday, with quarterly bookings coming in at a lower-than-expected 702.5 million euros ($824.4 million) [3].

References:
[1] https://www.ainvest.com/news/block-join-500-shares-rise-8-1-billion-bitcoin-holdings-2507/
[2] https://www.ainvest.com/news/japan-trade-deal-boosts-dow-jones-200-points-eu-prepares-30-tariffs-2507/
[3] https://www.cnbc.com/2025/07/23/european-markets-on-weds-july-23-stoxx-600-ftse-dax-cac-.html