Wall Street futures edged higher on Monday afternoon (India time), indicating a firm start for US markets later in the day, as signs of easing trade tensions between the United States and China lifted investor sentiment following recent volatility linked to concerns over regional banks.

The gains came after US President Donald Trump sought to calm trade frictions with China on Friday, days after markets were rattled by worries about the credit health of smaller American lenders.

A new round of trade discussions between Washington and Beijing is expected this week in Malaysia, with US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng scheduled to hold talks aimed at preventing fresh escalation.

In an interview with Fox News on Sunday, Trump played down his earlier threat to raise tariffs on Chinese goods by 100 percent, calling such a move “not sustainable”, though adding that “it could stand.” He said the US would “be fine” with China. Chinese state media described Bessent’s virtual meeting with He on Friday as a constructive exchange of views.

Around 4 pm IST, futures linked to the Nasdaq 100 gained 0.37 percent, those tied to the S&P 500 rose 0.3 percent, and Dow Jones Industrial Average futures advanced 0.17 percent.

In Europe, the pan-European STOXX 600 index was up 0.6 percent, with Germany’s DAX rising 1.25 percent. France’s CAC 40, however, traded lower.

In Asian markets, South Korea's Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng settled higher.

Back home, the equity benchmark indices Sensex and Nifty settled higher on Monday, taking their winning run to the fourth day in a row, driven by buying in blue-chip stocks and sustained foreign fund inflows.  The Sensex jumped 411.18 points or 0.49 percent to settle at 84,363.37. During the day, it zoomed 704.37 points or 0.83 percent to 84,656.56. The Nifty surged 133.30 points or 0.52 percent to 25,843.15.