European stock markets remained cautious on June 11, 2025, as investors awaited key U.S. inflation data and monitored developments in the U.S.-China trade negotiations. A tentative agreement between the two countries raised hopes of easing rare earth restrictions, benefiting European automakers.
European shares remained largely steady on Wednesday, as investors across the continent awaited crucial inflation data from the United States. This comes amid signs of progress in trade relations between the U.S. and China, two of the world’s largest economies.
According to officials, representatives from the United States and China have agreed on a framework to renew their stalled trade truce. The agreement reportedly includes the removal of China’s export restrictions on rare earth materials and reciprocal actions from the U.S. in reducing some of its own trade curbs.
This preliminary framework will now be presented to the leaders of both nations for final approval.
In European markets, shares of automakers—industries highly dependent on rare earth materials—were among the early gainers, with a modest increase of 0.5%. The market’s subdued tone reflects investor caution ahead of the release of the U.S. inflation report, which could influence the next moves by the Federal Reserve on interest rates.
With global trade discussions back on the table and economic data from the U.S. pending, European investors remain observant, weighing both the risks and opportunities on the horizon.
