Global Markets Surge Amid Trade Policy Adjustments

European and Asian stocks rose following U.S. President Donald Trump's suggestion of possible tariff changes on autos. The move comes after exemptions for electronics, with positive market reactions. However, analysts remain cautious as uncertainty persists over Trump's trade policies and their global impact.

European and Asian stock markets saw an upward trend on Tuesday after remarks from U.S. President Donald Trump about potential tariff modifications on auto imports. This development follows a recent move to exempt certain electronics from tariffs, sparking a moderate rally in global markets.

While investors welcomed these moves as a respite from a heavy selling phase, analysts remain wary. The ongoing unpredictability of Trump's trade policies continues to cast uncertainty over the global economic horizon, with both positive and cautious reactions seen in different markets across the globe.

U.S. Treasuries have stabilized after a record selloff last week, while bond yields experienced slight fluctuations. Meanwhile, currency markets witnessed a softening of the euro close to a three-year high against the dollar, amid speculation over future U.S. Federal Reserve rate cuts in response to potential recessions.

(With inputs from agencies.)