European Stocks Dip Ahead US-China Trade Talks Amid Weak Chinese Data

European stock markets have generally opened lower this week amid cautious investor sentiment ahead of critical trade talks between the US and China in London. The negotiations, involving senior officials such as US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng, aim to ease longstanding trade tensions and potentially roll back tariffs imposed by President Donald Trump. While Asian markets showed optimism and gains following the talks, European indexes like the FTSE 100, CAC 40, and DAX 40 experienced modest declines. US Commerce Secretary Lutnick indicated a framework agreement was reached in recent discussions, pending approval by President Trump, which added some optimism to US stocks. Nevertheless, recent Chinese trade data revealed a significant drop in exports to the US, underscoring ongoing economic challenges despite diplomatic progress. Investors remain cautiously hopeful that these talks will lead to a lasting de-escalation of the US-China trade conflict, which has had wide-reaching impacts on global markets.