Stoxx 600, FTSE, U.S.-China talks

LONDON — European stocks lacked direction ahead of the open on Tuesday, as investors assess developments in the U.S.-China trade talks.

The U.K.’s FTSE index and Germany’s DAX are both expected to open just a touch higher, France’s CAC 40 slightly lower and Italy’s FTSE MIB is seen opening 0.11% lower, according to data from IG.

Global markets are keeping a close eye on talks in Spain after U.S. President Donald Trump said the U.S.-China trade negotiations were progressing well.

The trade talks were overshadowed by a “framework” deal regarding the divestment of Chinese-owned TikTok announced by Treasury Secretary Scott Bessent Monday. Speaking from Madrid, Bessent noted that the commercial specifics of the arrangement have already been settled.

Both Trump and Chinese President Xi Jinping will speak on Friday to discuss the terms.

The U.K is meanwhile preparing for White House leader’s state visit. The U.S. president and his wife, Melania, arrive on Tuesday evening and will spend Wednesday at Windsor Castle with King Charles and Queen Camilla before holding talks with U.K. Prime Minister Keir Starmer on Thursday.

Overnight, Japan’s benchmark Nikkei 225 surpassed the 45,000 mark for the first time, leading gains in Asia-Pacific markets.

In the U.S., S&P 500 futures were flat on Monday night after the Senate confirmed Trump’s pick to join the Federal Reserve, Stephen Miran, just one day before the central bank meets to consider whether to cut interest rates.

On the European data front, U.K. unemployment figures, Italian inflation and EU Industrial production data are due, as well as a reading of German economic sentiment.