Ukraine talks lift euro but tariff worries linger

Morning Bid Europe Morning Bid Europe A look at the day ahead in European and global markets By Ankur Banerjee, Asia Finance & Markets Breaking News Correspondent   Data refreshes every time you open this email. For more European market news, click here. Please send any feedback to morningbid@thomsonreuters.com. The euro hit a five-month peak and European bourses were poised to open higher on Wednesday as progress towards a ceasefire in Ukraine bolstered investor sentiment, but worries lingered that tit-for-tat tariffs could trigger a recession. The U.S. said it would restore military aid and intelligence sharing to Ukraine after Kyiv said it would accept a U.S. ceasefire proposal, although Russia has yet to respond. Today's Market News US to resume security support to Ukraine as Kyiv says it is ready to accept ceasefire proposal EU to impose counter tariffs on over $28 billion of US goods Greenland's pro-business opposition wins election amid Trump control pledge UK tanker collision leaves two ships burning, one expected to sink Bayer share drop draws market regulator's scrutiny, source says Recession worries Steel bars produced at the plant of steelmaker Voestalpine in Donawitz, May 6, 2013. Picture taken May 6, 2013. REUTERS/Leonhard Foeger Futures point to a strong start on Wednesday for the pan-European STOXX 600, which dropped nearly 3% in the first two days of the week as recession worries gripped markets. Adding to the markets' jittery mood over tariffs, U.S. President Donald Trump reversed course on Tuesday afternoon on a pledge just hours earlier to double tariffs on steel and aluminium from Canada to 50%. Trump's 25% tariffs on steel and aluminium imports took effect on Wednesday as prior exemptions, duty-free quotas and product exclusions expired. The will-he-or-won't-he conundrum on tariffs has battered stocks, with the S&P 500 wiping out an eye-watering $4 trillion in market value from its recent peak hit last month. U.S. futures stabilised in early Asian hours. Trump defends tariffs Trump defended his tariff moves during a meeting on Tuesday with the CEOs of the biggest U.S. companies, and said they could multiply. The Republican president spoke to about 100 CEOs at a regular meeting of the Business Roundtable, which included the heads of Apple, JPMorgan Chase and Walmart. Recession worries have led traders to add to bets on the Federal Reserve cutting rates, with markets pricing in 76 basis points of easing this year. That has put the spotlight firmly on U.S. inflation data due later in the day.   Graphics are produced by Reuters. Key developments that could influence markets on Wednesday: Possible details on Russia-Ukraine ceasefire U.S. inflation  Possible tariff-related news   Graphics are produced by Reuters. Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias. Sponsors are not involved in the creation of newsletters or other Reuters news content. Advertise in this newsletter or on Reuters' website Morning Bid is sent every weekday morning. Think your friend or colleague should know about us? Forward this newsletter to them. They can also sign up here. Want to stop receiving this email? Unsubscribe here. To manage which newsletters you're signed up for, click here. Terms & Conditions and Privacy Statement © 2025 Thomson Reuters. All rights reserved. 3 Times Square, New York, NY 10036