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Equity Markets Climb on Steady US Inflation and 90-Day US-China Tariff Truce Extension

July’s consumer prices matched June’s pace, fueling bets on a September Fed rate cut following the formal extension of the US-China tariff truce.

Un opérateur à la Bourse de New York, le 11 août 2025
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L'ancien siège de la Bourse de Paris, le palais Brongniart, à Paris le 24 août 2015
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Overview

  • Global equity indexes hit fresh highs after US CPI held at 2.7% year-on-year in July, with month-on-month inflation slowing to 0.2%.
  • CME FedWatch signals roughly a 96% probability of a 25-basis-point rate cut by the Federal Reserve in September.
  • President Trump signed a decree extending the US-China tariff pause for 90 days, while Nvidia and AMD agreed to pay 15% of AI-chip revenues from China to the US government.
  • Valneva’s stock surged over 11% following a report of €97.6 million in first-half revenue and reaffirmed 2025 guidance.
  • Markets remain cautious ahead of the scheduled TrumpPutin summit in Alaska, which could affect Ukraine sanctions and European defence stocks.