📆 Monday, April 14
► European equities pushed higher, lifted by optimism after President Trump temporarily paused tariffs on consumer electronics, though signs of hesitation emerged across the region. The Stoxx 600 rose 2%, marking one of its strongest sessions this month, while Germany’s DAX (GER40) edged up about 2.2%. France’s CAC 40 traded 1.9% higher, and the UK’s FTSE 100 rose 1.8%, supported by tech and energy gains. The rally was broad-based early on but lost some steam in places as Trump clarified the exemption is only temporary. Focus now shifts to Thursday’s ECB meeting, where policymakers are widely expected to deliver a 25 basis point rate cut amid tariff-related growth risks.
► U.S. futures signaled continued strength, with S&P 500 futures up 1.8% and Nasdaq futures rising 1.2%. The rally is led by tech giants, most notably Apple, which surged over 5% in pre-market trade after phones and laptops were temporarily exempted from new tariffs. However, confusion remained after Trump emphasized that no one is “off the hook,” suggesting sector-specific tariffs may still come. Treasury yields ticked lower, with the 10-YR yield dropping to 4.44% (down 5 bps at the moment). The USD continued its multi-day decline with the DXY falling sharply (-0.6%), fueling speculation about its weakening role as a global safe haven / reserve currency. All eyes are now on Fed Chair Powell’s upcoming remarks and the start of Q1 earnings season. Also earnings reports will be followed closely – such as Goldman Sachs today.
► Asian markets rode the global tailwind higher, with gains across the board. The Nikkei 225 rose 1.27%, driven by exporters and chip stocks on expectations Japan may avoid harsher U.S. tariffs. The Hang Seng Index jumped 2.4%, reaching a two-month high (!), boosted by a rally in Tencent and Alibaba, as investors repositioned on tech after last week’s selloff. In China, the Shanghai Composite climbed 0.76%, supported by a surge in March exports (+12.4% YoY) and a massive jump in bank lending, suggesting Beijing may not yet be out of stimulus ammo. However, trade tensions are far from over. China suspended rare earth exports in retaliation to U.S. tariffs, and President Xi continued his Southeast Asia tour to firm up regional alliances. Australia’s ASX 200 rose 1.34%, lifted by mining and energy stocks after stronger commodity prices and a weaker U.S. dollar boosted sentiment.
Subscribe to see more
