European markets head for higher open as traders assess U.S.-China dispute

Market Overview - European stocks are expected to open higher, rebounding after touching a two-week low in the previous trading session, with the U.K.'s FTSE index projected to rise by 0.37%, Germany's DAX by 0.4%, France's CAC 40 by 1.72%, and Italy's FTSE MIB by 0.6% [1] Trade Relations - Positive sentiment in the market follows a period of decline due to concerns over a potential new trade dispute between the U.S. and China, with President Trump threatening new tariff increases in response to China's export controls on rare earth minerals [2] - Trump also criticized China for not purchasing soybeans, labeling it an "economically hostile act," and hinted at possible retaliatory measures, including a cooking oil embargo [3] Political Developments - France's political landscape is under scrutiny as Prime Minister Sebastien Lecornu announced the suspension of a controversial pension reform until after the 2027 election, a significant move that has garnered support from the Socialist party [4] Global Economic Discussions - Investors are keenly observing the IMF and World Bank annual meetings in Washington, which will address critical global issues such as the economy, poverty eradication, and economic development [5]