Stock markets in the U.S. could show uncertainty leading up to the Trump-Putin meeting.
U.S. markets opened roughly flat on Friday, with investors treading carefully due to a highly-anticipated meeting between President Donald Trump and Russian counterpart Vladimir Putin. The summit, held in Alaska, was initially hoped to be a breakthrough toward a ceasefire or peace agreement to end Russia's war in Ukraine. However, the meeting ended without a deal, with no agreement on a ceasefire or concrete peace terms.
In the economic realm, the Labor Department reported that U.S. import prices increased by more than expected in July. Meanwhile, gold ticked higher in Asian trading, while oil prices fell due to disappointing U.S. and Chinese economic data. Excluding sales by motor vehicle and parts dealers, U.S. retail sales rose by 0.3% in July, and the annual rate of U.S. producer price growth surged to 3.3% in July. The Commerce Department also reported that retail sales in the U.S. increased in line with economist estimates in July.
Elsewhere, the University of Michigan is due to release its preliminary reading on consumer sentiment in August at 10 am ET. European stocks turned in a mixed performance, with the U.K.'s FTSE 100 down, the German DAX up, and the French CAC 40 up. Seoul stocks finished marginally higher, and the Australian S&P/ASX 200 Index and the All Ordinaries Index both climbed 0.7%.
In company news, Sea1 Offshore shares plunged 7 percent due to disappointing second quarter results, while Ampol jumped 7.7 percent and Liontown Resources added 5.6 percent among top Australian gainers. Danish jewelry giant Pandora plummeted 13 percent due to weakening sales in key European markets.
In the tech sector, German chipmaker Infineon Technologies rose after completing the acquisition of Marvell Technology Inc.'s Automotive Ethernet business. ASML fell 1.2 percent after forecasting fourth-quarter revenue and profit below estimates. NKT soared 7.8 percent after posting record operational earnings in the second quarter and lifting its 2025 outlook.
Crude oil futures fell to $63.54 a barrel, while gold futures inched up to $3,386.20 an ounce. The Federal Reserve Bank of New York reported regional manufacturing activity grew at a faster rate in August, and the Labor Department's producer price index for final demand increased by 0.9% in July. The Federal Reserve is scheduled to release its report on industrial production in July at 9:15 am ET, and the Commerce Department is scheduled to release its report on business inventories in the month of June at 10 am ET.
In summary, the Trump-Putin Alaska summit concluded without concrete agreements, signaling ongoing geopolitical uncertainty. This ambiguity likely produced cautious market behavior on the day of the meeting, reflecting the unresolved risks tied to the Ukraine conflict and U.S.-Russia relations. Meanwhile, mixed economic data and company performances added further complexity to the investment landscape.
- With the uncertain outcome of the Trump-Putin summit, investors might be more cautious when it comes to stock-market investing, especially in the finance sector, as geopolitical tensions can significantly impact market trends.
- As gold prices increase in Asian trading, some investors might see this as a potential opportunity for investing, given the current economic circumstances and the uncertainty surrounding the stock-market.
