European stocks pare their advance

US equity futures gave up gains and European stocks pared an advance as China’s record trade surplus with America served as a reminder that trade tensions aren’t going away, even as investors’ focus shifted to secondquarter earnings. The pound fell as the Brexit quagmire deepened.

Futures on the S&P 500, Dow Jones and Nasdaq fluctuated between gains and losses before earnings from some of America’s biggest banks, including JP Morgan Chase & Co. A report that China’s $941 billion sovereign wealth fund may move money home weighed on the gauges. The Stoxx Europe 600 Index edged higher, with trading volume more than 20 percent lower than the 30-day average and commodity producers underperforming. Stocks in Asia were set for a first weekly advance in five as benchmarks in Japan, Hong Kong and South Korea gained.

The dollar strengthened and Treasuries edged higher, while the euro declined and the yuan fell. The pound slipped after President Donald Trump warned U.K. Prime Minister Theresa May that her Brexit proposal -- already facing an uphill battle for European Union approval -- could “kill” any future U.S. trade deal.

The Stoxx Europe 600 Index climbed 0.1 percent as of 11:04 a.m. London time. Futures on the S&P 500 Index declined less than 0.05 percent. The MSCI All Country World Index advanced less than 0.05 percent. The MSCI Emerging Market Index increased 0.2 percent.

Meanwhile, commodities fell as West Texas crude retreated near $70 a barrel and metals declined, with gold hitting a one-year low. Emerging-market shares extended gains to head for a first weekly advance in five.

West Texas Intermediate crude fell 0.5 percent to $70.00 a barrel, the lowest in more than two weeks. LME copper dipped 0.8 percent to $6,177.00 per metric ton. Gold declined 0.4 percent to $1,241.81 an ounce, the weakest in about a year.