European Shares Poised To Open Higher After US-India Trade Deal

Add as your preferred news source on Google Add Now European stocks are seen opening broadly higher on Tuesday, with hopes of the U.S. government's partial shutdown ending and the announcement of a U.S.-India trade deal likely to underpin investor sentiment. The U.S. House of Representatives is preparing for a crucial vote on a Senate compromise to end the partial government shutdown.President Trump has implored lawmakers to quicky end the shutdown, promising to "work in good faith" on raised issues and concerns.The partial government shutdown will impede the release of jobs data, regarding the Job Openings and Labor Turnover Survey, Initial Jobless Claims and the Nonfarm Payrolls report for January. Reports on the ADP Employment Change for January as well as S&P and ISM Services PMIs along with speeches by Federal Reserve officials may garner attention as the week progresses. Investors also eagerly await Thursday's policy decisions from the Bank of England and the European Central Bank.Meanwhile, the Trump administration has cut reciprocal tariff on India to 18 percent from 25 percent with immediate effect after months of diplomatic tensions. In return, Trump claimed India would stop buying Russian oil, increase energy purchases from the U.S. and cut its tariffs and non-tariff barriers on U.S. products to "zero."Asian markets advanced and U.S. stock futures ticked higher as U.S.-Iran tensions eased and precious metals like gold, silver, and platinum steadied from two days of outsized losses.The U.S. and Iran will resume nuclear talks on Friday in Turkey to discuss a potential deal. Benchmark 10-year yields were steady in Asian trade after rising in the previous session.The dollar held firm near a one-week high while benchmark Brent crude contracts extended declines after settling 6 percent lower overnight.Gold traded up nearly 4 percent, after having hit a near one-month low in the previous session.U.S. stocks rose overnight as data showed factory activity grew for the first time in a year in January, helping traders shrug off renewed uncertainty over U.S. monetary policy.The Dow rallied 1.1 percent, the tech-heavy Nasdaq Composite climbed 0.6 percent and the S&P 500 gained half a percent. European stocks recovered from an early slide to end sharply higher on Monday after U.S. President Trump said he was hopeful of agreeing a deal with Iran.The pan European Stoxx 600 gained 1 percent. The German DAX surged a little over 1 percent, France's CAC 40 advanced 0.7 percent and the U.K.'s FTSE 100 climbed 1.2 percent. For comments and feedback contact: editorial@rttnews.comBusiness News