(Bloomberg) -- Stocks in Europe drifted, U.S. equity futures edged higher and Asian shares were mostly down as fresh trade tensions offset solid economic data and a raft of corporate earnings. Treasuries were steady and European government bonds climbed.
The Stoxx Europe 600 index fluctuated between gains and losses amid a mixed bag of reports from companies including Swatch, Ericsson and ASML. Contracts on the S&P 500, Dow Jones and Nasdaq pointed to a slightly firmer U.S. open, even after sentiment overnight was dented by President Donald Trump saying he could impose more tariffs on China. Benchmarks in Japan, Korea and China fell, while Australian stocks rose. The euro erased a decline after June inflation data largely met economists' expectations. Crude oil rose for the first time in three days.
Investors have plenty to digest this week. More dovish comments from Federal Reserve Chairman Jerome Powell did little to stir markets Tuesday, suggesting easing may be fully priced in. A resumption of trade bluster from Trump served to remind that the threat of tariffs hasn't gone away, while healthy earnings from some of the big Wall Street names are being overshadowed by the prospect of lower rates. Corporate reporting season in Europe will add to the mix.
"In the wake of reporting that there were signs of progress in U.S.-Chinese trade talks, President Donald Trump took the opportunity to put markets on the back foot," said Siobhan Redford, an analyst at FirstRand Bank in Johannesburg. "These events contributed to dollar strength."
Elsewhere, Bitcoin extended a slide below $10,000. The pound slipped for a third day as traders contemplated no-deal Brexit risk and the Times reported that Boris Johnson, the leading candidate to take over as prime minister, wants to hold an early general election.
Here are some key events coming up:
These are the main moves in markets:
--With assistance from Adam Haigh.
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