French Prime Minister Sébastien Lecornu secured a key political victory after winning the Socialist Party’s support by shelving the government’s controversial pension reform, easing immediate pressure on President Emmanuel Macron’s fragile coalition.
In a major shift in trade policy, the European Union plans to require technology transfers from Chinese companies investing in the bloc — mirroring practices long used by Beijing. The move follows leaked documents from June showing that the Dutch government nationalized chipmaker Nexperia under US pressure, citing national security concerns.
Corporate news fueled optimism across European markets. ASML Holding NV rose 3% as the global race for AI infrastructure continues to lift demand for its advanced lithography systems. Meanwhile, LVMH shares soared up to 14% after the luxury conglomerate reported a return to growth, driven by resurgent demand in China.
Across the Atlantic, President Donald Trump escalated rhetoric against Beijing, threatening to halt US imports of Chinese cooking oil in response to China’s suspension of soybean purchases.
The Euro Stoxx 50 gained 1.5%, led by French and Dutch equities, while Asian markets also advanced, with Japan and China both climbing more than 1.5%. US futures traded between 0.5% and 1% higher, signaling a potential rebound as investors eye a possible truce in the trade standoff.Meanwhile, gold extended its record-breaking rally, rising above US$4,200 as investors continue to pile into hard assets amid intensifying global economic uncertainty.