(fxcue news) - European stocks may open higher on Monday as the U.S. and China both reported "substantial progress" after two days of talks in Switzerland aimed at de-escalating a trade war. U.S. Treasury Secretary Scott Bessent described the discussions as "productive and constructive," while China's Vice Premier He Lifeng said the talks were "in-depth" and "candid". The White House called it a "trade deal" without giving further details. More details are expected at a briefing later today. Investors may also cheer easing geopolitical tensions following a ceasefire deal between India and Pakistan and ahead of "direct talks" to be held between Russia and Ukraine on May 15 in Turkey. U.S. President Donald Trump's tour of the Middle East this week also remains on investors' radar. On the first major foreign trip of his second presidency, Trump will visit Saudi Arabia and then Qatar and the UAE. In economic releases, U.S. reports on consumer and producer price inflation, retail sales, industrial production and consumer sentiment due this week may provide clues about the Federal Reserve's interest-rate outlook. Asian stocks traded higher, with Hang Seng rising for an eighth day - the best run in a year as investors await details of the U.S.-China trade talks. Shares of pharmaceutical companies traded lower after Trump promised to sign an executive order to lower the cost of U.S. prescription drug costs, mandating that Americans pay no more than people in countries that have the lowest price. Most Asian currencies weakened as the U.S. dollar strengthened on trade deal optimism. Gold fell below $3,300 per ounce while oil steadied after posting a weekly gain. U.S. stocks fluctuated before closing narrowly mixed on Friday, posting modest losses for the week after the announcement of a limited trade agreement with the U.K. and ahead of crucial Sino-U.S. trade talks. European stocks closed higher on Friday amid signs of easing trade tensions. The pan European STOXX 600 gained 0.4 percent. The German DAX and France's CAC 40 both rose by 0.6 percent while the U.K.'s FTSE 100 added 0.3 percent.