The European session presented a mixed picture as US stock futures climbed, driven by optimism over a fragile Middle East ceasefire and continued strength in tech earnings. Oil prices, particularly Brent and WTI crude, reacted negatively to peace hopes, shedding over 2%. In equities, the German DAX 40 showed robust gains, while the UK's FTSE 100 lagged significantly, impacted by disappointing earnings from some financial institutions like HSBC. Precious metals, gold and silver, saw moderate gains, indicating some underlying demand, possibly as a hedge or due to broader commodity strength. Cryptocurrencies, Bitcoin and Ethereum, experienced solid rallies, pointing to renewed risk appetite in that sector. Forex majors remained relatively subdued, with EUR/USD, GBP/USD, and USD/JPY trading largely sideways, suggesting a wait-and-see approach from FX traders ahead of the US open. The focus for the US session will undoubtedly be on the sustainability of the Middle East ceasefire and how global risk sentiment evolves from here.

For the US session, the primary risk remains the geopolitical situation in the Middle East. While a ceasefire is being tested, any breakdown could quickly reignite risk aversion and impact oil prices and equity markets. Corporate earnings will continue to be a significant factor, with any major company reports potentially swaying sector-specific and broad market sentiment. As no major economic data are scheduled for today, market participants will be highly sensitive to headlines and any commentary from central bank officials, though none appear slated for major speeches. Technical levels and potential profit-taking after recent moves in commodities and crypto should also be monitored.