(RTTNews) - European stocks are likely to open higher on Tuesday, with another record close on Wall Street overnight and signs of progress in U.S.-China trade negotiations likely to help underpin investor sentiment.
Top Chinese and U.S. negotiators spoke on the phone and agreed to "push forward" their Phase 1 trade deal reached between the two countries in January.
Washington said the parties "addressed steps that China has taken to effectuate structural changes called for by the agreement".
Beijing said the two sides had a "constructive dialogue" on creating conditions and atmosphere to continue to push forward the implementation of the Phase one agreement. Asian markets traded mostly higher despite researchers in Hong Kong reporting what appears to be the first confirmed case of Covid-19 reinfection.
Separately, top U.S. virus expert Anthony Fauci has warned against rushing out a Covid-19 vaccine before it has been fully tested.
Gold eased on a firmer dollar as U.S. Treasury yields rose slightly and investors awaited a Thursday speech from Federal Reserve chairman Jerome Powell for further cues on U.S. monetary policy. Oil held steady after storms disrupted U.S. production.
In economic releases, business confidence and revised quarterly national accounts from Germany are due later in the session, headlining a light day for the European economic news.
Across the Atlantic, trading may be impacted by reaction to reports on home prices, consumer confidence and new home sales.
U.S. stocks rose overnight as new coronavirus infections in the U.S. slowed and the FDA approved the use of convalescent plasma as a treatment for coronavirus patients.
Investors also cheered reports that the Trump administration is considering fast-tracking an experimental vaccine from the U.K.
The Dow climbed 1.4 percent to end at its highest level in six months, while the tech-heavy Nasdaq Composite rose 0.6 percent and the S&P 500 gained 1 percent to reach fresh record closing highs.
European stocks rose sharply on Monday after the Trump administration took a more aggressive stance on virus treatments.
The pan-European Stoxx Europe 600 index climbed 1.6 percent. The German DAX spiked 2.4 percent, France's CAC 40 index rallied 2.3 percent and the U.K.'s FTSE 100 jumped 1.7 percent.
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