US Stock Futures Weakened Ahead of Crucial CPI – Europe Market Wrap

US market futures fell as Trump hinted that he was prepared to impose reciprocal tariffs on trading partners. Trump stated in a social media post that the additional tariffs would be unveiled on Thursday. S&P 500 futures lost early gains, as Europe’s Stoxx 600 benchmark dipped from session highs. The Euro also reduced its gains versus the Dollar.

Earlier, the Euro soared and European markets reached new highs on hopes that US-Russia talks would bring an end to the Ukraine conflict. The combined currency rose as much as 0.6%, extending its longest winning streak of the year, as hopes for a resolution to the crisis bolstered demand for riskier assets. The Dollar plummeted, oil fell more on expectations that risks to Russian supply may be reduced, and Ukraine’s Dollar bonds climbed the most among emerging-market peers.

The Pound soared when Britain reported surprising economic growth at the end of 2024. GDP increased by 0.1% in Q4, accelerating from a flat third quarter. It exceeded experts’ and the BoE’s expectations of a 0.1% fall.

In a phone chat with Putin, Trump promised to begin negotiations to end the war in Ukraine. Trump details of the discussion, his first public interaction with Putin since retaking presidency, on social media.

[06:46 ET] Trump: Today is the big one – reciprocal tariffs. [Stock indexes fell, Dollar Gained]

[04:30 ET] Kremlin on Russian negotiator for talks on finding peace in Ukraine: when Putin makes a decision we will announce it. [Oil weakened]

[02:30 ET] Swiss Core CPI YoY Actual 0.9% (Forecast 0.6%, Previous 0.7%) [Franc Strengthened]

[02:00 ET] UK GDP QoQ Prelim Actual 0.1% (Forecast -0.1%, Previous 0.0%) better than expected GDP report led to GBP strength