FTSE 100 Rises on Trump EU Tariff Delay Amid Global Market Gains

European and U.K. stock markets showed gains following U.S. President Donald Trump's announcement to delay the imposition of a 50% tariff on EU imports until July 9, extending the original June 1 deadline and allowing more time for trade negotiations with European Commission President Ursula von der Leyen. The FTSE 100 rebounded after a long weekend, with futures indicating modest increases, while Germany's DAX and France's CAC also posted gains. Despite positive market reactions, concerns remain as food inflation in the U.K. climbed to 2.8% in May, driven mainly by increases in fresh food prices, influenced in part by higher National Insurance costs for businesses. Market analysts note a growing 'fear fatigue' among investors, who are becoming accustomed to tariff threats, with less aggressive market moves in response. Additionally, U.S. stock futures and Asian markets generally trended higher amid the tariff pause, though some regional variations occurred. Overall, the tariff delay has eased immediate market uncertainty, but ongoing trade discussions and inflationary pressures continue to influence investor sentiment.