S&P 500, Nasdaq Climb After 15% Tariff Deal Between U.S and EU

July 28 - U.S. stocks started the week with early gains on Monday after Washington and Brussels reached a trade deal, but the momentum eased as the morning moved on.

Nasdaq 100 rose about 0.6%, leading S&P 500 futures higher by 0.4%, while Dow Jones Industrial Average futures edged up 0.2% on Monday morning.

The agreement between the U.S. and the European Union reduces tariffs to 15% on a range of imports. The decision followed earlier threats from former President Donald Trump to impose 30% tariffs on most goods from the bloc. Pharmaceuticals and steel are excluded from the agreement.

UBS Chief Economist Paul Donovan noted that the deal includes plans from the EU to invest in and purchase U.S. goods, but he said those pledges still lack formal authority.

Wall Street enters this week after a strong stretch of corporate earnings and similar trade understandings recently made with Japan and Indonesia.