European stocks close up 0.79%, London copper futures rise for the 8th consecutive day

Investors are focused on the upcoming meeting between U.S. President Trump and Chinese President Xi Jinping, with expectations that both sides will discuss trade and the Iran war issue. U.S. stocks had mixed developments on Tuesday, with the S&P 500 and Nasdaq reaching intraday highs, while the Dow was under pressure. European stocks fluctuated and rebounded, with the pan-European Stoxx 600 index closing up 0.79% at 611 points, the highest point of the day in whole numbers, after a slight dip during the session.

The UK Prime Minister faces increasing pressure to resign, with the 10-year UK bond yield slightly softening from the previous day’s high; additionally, London copper futures rose for the eighth consecutive trading day, reaching a high of $14,191.48 per ton, up 1.2%.

The UK FTSE 100 index closed at 10,325 points, up 0.58% or 60 points; Germany’s DAX index closed at 24,136 points, up 0.76% or 181 points; France’s CAC 40 index closed at 8,007 points, up 0.35% or 28 points; Italy’s FTSE MIB index closed at 49,480 points, up 1% or 489 points; Spain’s IBEX 35 index closed at 17,654 points, gaining 0.46% or 81 points.

German automation giant Siemens’ first-quarter net profit exceeded expectations, reaching €2.03 billion. The group announced a new €6 billion share buyback plan over five years, and Siemens’ stock price stabilized after fluctuations.

Following a heavy defeat in local elections, UK Prime Minister and Labour Party leader Keir Starmer faces increasing pressure to resign. Health Secretary Wes Streeting is reportedly preparing to resign to run for Labour leader.

The U.S. core Producer Price Index (PPI) for final demand in April rose 1.4% month-on-month and 6% year-on-year, both the largest increases in nearly three years; the core PPI, excluding food and energy, increased 5.2% year-on-year, also the largest rise in over three years, indicating inflationary pressures have spread from energy prices to broader production sectors. After the data was released, markets adjusted their expectations for Federal Reserve policies. Traders further increased bets that the Fed will maintain high interest rates for a longer period, with some even considering the possibility of resuming rate hikes.