06:32 AM EDT, 07/11/2025 (MT Newswires) -- Commerzbank in its "European Sunrise" note of Friday highlighted:

Markets: United States Treasuries pare losses into New York close after "solid" 30-year auction, softer in Asia. Equity futures, local stocks recover after initial drop on tariff news. EUR drops, oil little changed.

Fed: San Francisco Federal Reserve Bank President Mary Daly still expects two cuts this year, says inflation impact may be lower than anticipated. St. Louis Federal Reserve President Alberto Musalem sees upside risks to inflation.

Chicago Federal Reserve Bank President Austan Goolsbee says Fed mandate isn't cutting rates to make government debt cheaper. Fed Governor Christopher Waller says "we have far too many long-term assets on the central bank's balance sheet", wants to let balance sheet shrink to about $5.8 trillion (speech).

Trade: U.S. President Donald Trump slaps 35% tariffs on Canadian imports not covered by USMCA, energy levy remains at 10%. Tells NBC the European Union will receive letter "today or tomorrow," considers blanket tariffs of 15%-20% on "remaining countries." 50% copper tariffs to include semi-finished goods.

U.S. Banks: Fed considers lowering bar to achieve "well managed"-tag under supervisory rating framework.

Russia-Ukraine war: Trump plans "major statement" on Russia on Monday, says U.S. is going to send weapons for Ukraine to NATO, which is going to pay "100%."

==EUROPE:

EU: "I dream of the ECB feeling it has a role to play for growth in the EU", French Prime Minister Francois Bayrou says in a TV interview.

Germany: CDU/CSU will convene special meeting on Friday as the election of SPD candidate for the GCC is "on shaky ground."

Italy: Finance minister sees no need to review 2025 budget estimates, is in talks with the European Commission to end excessive deficit procedure.