The FTSE 100 (^FTSE) and European indices bounded higher on Monday morning as details of a temporary trade deal between the US and China came into focus.

Stocks climbed as US treasury secretary Scott Bessent said the US will cut tariffs on Chinese goods to 30% from the 145% imposed previously, for 30 days.

Meanwhile, China's commerce ministry confirmed the suspension of "all tariff countermeasures" taken against the US since 2 April, according to a Reuters report.

The deal also sent US stock futures sharply higher. Uncertainty over potentially high tariffs has plagued businesses over the past months, causing a dip in investor confidence.

London's premier index opened 0.5% higher. Mining stocks were among the top risers, with Antofagasta (ANTO.L) and Glencore (GLEN.L) gaining more than 7% in early trade. The DAX (^GDAXI) in Germany rose 1.4%, while the CAC 40 (^FCHI) in Paris ticked up 1.2%. The pan-European STOXX 600 (^STXE) gained 1%.LIVE3 updates

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Lucy Harley-McKeown

Rate of layoffs accelerates: CIPD

The rate that UK businesses are laying people off gained pace in April, according to a new survey by the CIPD, with employer confidence levels at an all-time low following the legislated increase in National Insurance payments and rise in the national living wage.

The drop in confidence levels was matched by the fall to a record low, outside the pandemic, in the number of UK employers expecting to up headcount in the next three months. CIPD records go back to 2014. 37 mins ago

Lucy Harley-McKeown

US stocks surge in premarket

Stock futures on Wall Street surged on Monday as the US cited "substantial progress" in trade negotiations with China, raising hopes of a potential deescalation in tensions between the world’s two largest economies.

Dow Jones Industrial Average (YM=F) futures rose by over 480 points, or 1.2%, while S&P 500 (ES=F) futures advanced 1.6%. Nasdaq 100 (NQ=F) futures led gains with a 2.2% jump.

The market-friendly momentum followed a weekend of high-level trade talks in Switzerland, which Treasury Secretary Scott Bessent called "productive." While details remain scarce, Bessent promised further clarity during a briefing on Monday.

The rally in futures comes after a downbeat week for stocks. All three major indexes fell last week, with the Dow snapping a two-week winning streak in the latest volatile action on Wall Street. 39 mins ago

Lucy Harley-McKeown

Good morning!

Hello from London. Lucy Harley-McKeown here, ready to bring updates on the latest finance and markets news of the day.

This morning is relatively light on economic updates. Market watchers will have one eye on developments in president Donald Trump's trade negotiations as well as movements towards peace in the Russia-Ukraine war.

Let's get to it.

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