Global stocks were mixed in cautious trading as investors assessed latest twist in U.S. President Donald Trump’s tariff rollout.

Trump sent letters to 14 countries yesterday, including top Asian trade partners such as Japan and South Korea, unveiling sharply higher tariffs on imports into the United States with a new Aug. 1 deadline.

Wall Street futures were little changed after major U.S. markets closed lower yesterday.

TSX futures were in positive territory after only minor losses yesterday with the help of a rally in materials stocks.

“While a comprehensive trade deal is unlikely before the deadline, there is cautious optimism that a preliminary agreement can be reached to avert the immediate imposition of higher tariffs,” Daniela Hathorn, a senior market analyst at Capital.com said.

“Such an agreement would provide a foundation for continued negotiations aimed at resolving the broader trade disputes between the EU and the U.S., improving risk appetite in European stocks and the euro.”

Overseas, the pan-European STOXX 600 was down 0.15 per cent in morning trading. Britain’s FTSE 100 rose 0.15 per cent, Germany’s DAX gained 0.24 per cent and France’s CAC 40 slid 0.16 per cent.

In Asia, Japan’s Nikkei closed 0.26 per cent higher, while Hong Kong’s Hang Seng advanced 1.09 per cent.

Oil prices retreated after rising almost 2 per cent yesterday as investors assessed new developments on U.S. tariffs and a higher-than-expected OPEC+ output hike for August.

Brent crude futures dipped 0.3 per cent to US$69.35 a barrel. West Texas Intermediate (WTI) crude fell about 0.5 per cent to US$67.60 a barrel.

“Prompt demand remains healthy on the back of seasonal factors. The question remains if forward demand will maintain to absorb the larger-than-expected supply from OPEC+,” said Emril Jamil, a senior analyst at LSEG Oil Research.

In other commodities, spot gold eased 0.3 per cent to US$3,324.19 and ounce. U.S. gold futures fell 0.3 per cent to US$3,333.60.

The Canadian dollar strengthened against its U.S. counterpart.

The day range on the loonie was 73.07 US cents to 73.33 US cents in early trading. The Canadian dollar was up about 0.16 per cent against the greenback over the past month. 

The U.S. dollar index, which weighs the greenback against a group of currencies, declined 0.08 per cent to 97.40. 

The euro gained 0.23 per cent to US$1.1736. The British pound slipped 0.1 per cent to US$1.3587.

In bonds, the yield on the U.S. 10-year note was last up at 4.422 per cent.

Japan bank lending

Germany trade surplus: Exports fell more than expected in May, as demand from the United States dropped for the second consecutive month due to the impact of tariffs.

(6 a.m. ET) U.S. NFIB Small Business Economic Trends Survey for June.

(10 a.m. ET) Canada’s Ivey PMI for June.

(3 p.m. ET) U.S. consumer credit for May.

With Reuters and The Canadian Press