Markets are treading water midweek as investors weigh geopolitical developments, central bank signals, and upcoming economic data.

Trump Trade Talks: Progress on the Horizon?
Fox Business’ Charles Gasparino reported that Team Trump is nearing the announcement of several new trade agreements. According to the White House, major breakthroughs are in the works with Japan, South Korea, and Vietnam. While details remain under wraps, the news has added a layer of optimism to an otherwise muted market session.

Markets Mixed Across the Board
European equity markets are showing a mixed performance amid a quiet news flow. Meanwhile, U.S. futures are hovering near unchanged levels, reflecting investor caution ahead of key policy updates and economic indicators.

Dollar Bounces, Euro Pulls Back
The U.S. dollar is attempting to claw back some recent losses, with EUR/USD retreating slightly from its multi-year highs. Currency markets are closely watching developments from the Federal Reserve and global summits for any signs of directional cues.

Bonds Await Powell and NATO Signals
In the fixed income space, U.S. Treasuries are holding steady ahead of Federal Reserve Chair Jerome Powell’s next appearance, while European Bunds are under pressure, trading near session lows. Market participants are also keeping a close eye on outcomes from the ongoing NATO summit.

Commodities: Cautious Strength
Crude oil is bid but remains at the lower end of its recent trading range, suggesting caution despite some renewed buying interest. Meanwhile, metals are marginally firmer, reflecting broader uncertainty across commodities.

What to Watch Next
Looking ahead, today brings a packed calendar of events and data. On the radar:

• U.S. Building Permits data
• Czech National Bank (CNB) Policy Announcement
• NATO Summit developments
• Federal Reserve’s SLR (Supplementary Leverage Ratio) meeting
• Remarks from Bank of England’s Lombardelli and Fed Chair Powell
• Comments from U.S. President Trump
• Treasury supply announcements
• Key earnings reports from General Mills, Paychex, and Micron Technology

Investors should brace for potential volatility as these events unfold, especially with central bank commentary and geopolitical headlines taking center stage.