US Stock Futures Rise Amid Rate Cut Uncertainty, European Markets Fall

US stock futures rose despite continued trade tensions and weaker-than-expected housing data. European and Asian markets fell on uncertainty over Fed rate cuts. US futures for the S&P 500 were up 0.1% and futures for the Dow Jones Industrial Average climbed 0.1%. Asian markets mostly closed lower, with Japan's Nikkei down 0.9%. European markets were in the red, with Germany's DAX down 0.7% and London's FTSE 100 0.3% lower.

US stock futures rose despite ongoing trade tensions and weaker-than-expected housing data. The S&P 500 futures climbed 0.1%, while the Dow Jones Industrial Average futures also increased by 0.1%. This optimism was driven by a combination of factors, including the continued second quarter corporate earnings season and expectations for more trade deals before the August 1 deadline [1].

However, Asian and European markets experienced a different trend. Asian markets mostly closed lower, with Japan's Nikkei down 0.9%. The Chinese mainland stocks also declined, with Shanghai and ChiNext closing 0.3% and 0.1% lower, respectively. Meanwhile, European markets were in the red, with Germany's DAX down 0.7% and London's FTSE 100 falling 0.3% [2].

The uncertainty over Federal Reserve rate cuts also played a significant role in market movements. European stocks fell in line with Asia due to the uncertainty, while US stock futures rose. The German 10-year Bund yield rose by five basis points to 2.753%, and the yield on the 10-year U.S. Treasury climbed by one basis point to 4.412% [2].

Oil prices rose as trade-talk optimism appeared to offset expectations of higher Venezuelan supply. Brent crude was up 0.7% to $68.82 a barrel, while WTI was up 0.8% to $66.54 a barrel. Gold futures fell on firmer US jobs data but were on track for a small overall weekly gain [2].

Bitcoin declined alongside broader risk assets as hopes for US interest rate cuts diminished. The largest cryptocurrency dropped to a low of $115,122, the lowest since July 11. Ether and XRP also fell significantly, with Ether down around 3% and XRP falling 5.3% [3].

The mixed market sentiment reflects the ongoing global economic uncertainties and the impact of various geopolitical factors. Investors are keeping a close eye on the Federal Reserve's monetary policy and the progress of trade negotiations between major economies.

References:
[1] https://news.bloomberglaw.com/international-trade/indias-commerce-minister-confident-theyll-get-us-trade-deal
[2] https://www.marketscreener.com/news/u-s-stock-futures-rise-but-asia-european-markets-fall-on-rate-cut-uncertainty-ce7c5fdad181f523
[3] https://www.bloomberg.com/news/articles/2025-07-25/bitcoin-slides-as-fed-rate-cut-hopes-diminish