Markets Steady As Traders Gauge Rates Outlook – Europe Market Wrap

US equities futures remained stable in muted trading as traders analysed the outlook for economic growth and interest rates. The currency rose after the US government shutdown was averted.

Contracts on the Nasdaq 100 climbed 0.2%, while those on the S&P 500 were little changed after Wall Street’s robust gains on Friday, when the so-called core personal consumption expenditures price index rose at the weakest rate since May. Europe’s stock benchmark nudged up.

Investors are taking a breather after a string of strong US economic statistics prompted the Federal Reserve to reduce the number of cuts it expects in 2025. The PCE report revived optimism for deeper rate reduction, but overall mood remains cautious as investors brace for Trump’s broad global tariffs and China’s slow economic rebound.

Europe’s Stoxx 600 index rose on Friday after drugmaker Novo Nordisk staged a partial rebound from its biggest slide in more than two decades.

USTR’s Office: We’re launching a new investigation into Chinese-made legacy semiconductors that may lead to more tariffs.