With US-EU Deal, Markets Poised for a Positive Start to the Week
Financial markets are ready to begin one of the most significant weeks of the year from a macroeconomic perspective with optimism. The agreement reached between the US and the EU is currently seen as a positive development, helping to avert a trade war and reduce uncertainty. However, as mentioned, the week will be packed with important events: earnings reports, labor market data, monetary policy decisions, and economic growth figures will shape market performance and investor expectations—possibly for the coming months. Equities are expected to rise, fixed income shows mixed signals, and volatility remains stable.
Our intermarket dashboards indicate a “risk-on” sentiment in financial markets, with the S&P 500/VIX attempting to return to its late-2024 highs and the Dow/Gold ratio back at levels last seen at the end of March. Global equity and bond markets remain oriented to the upside.
On the macroeconomic front, Monday is expected to be relatively calm, with data on Indian industrial production and the Dallas Manufacturing Index scheduled for release.
Our forecasting analysis points to a positive start to the week for equity markets, with some uncertainty only in Asian indices. A wait-and-see attitude prevails in commodities, and signals remain mixed in the bond market as well. Volatility is expected to decline.
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NOTES AND WARNINGS
Data compiled by kbmeter.com. Analysis date: 28 July 2025 - 7:31 AM GMT+1
This content is provided for informational purposes only and should not be considered financial advice. All scores and assessments are based on the previous trading day’s closing prices. Futures indications refer to the date and time of the analysis.
