"I think it's the biggest deal ever made," Trump said of the new agreement, which will reduce the bloc's tariff rate to 15 percent.

Global stocks rose and the euro firmed on Monday after a trade agreement between the United States and the EU lifted sentiment and provided clarity in a pivotal week headlined by the Federal Reserve and the Bank of Japan policy meetings.

World stock markets have advanced after the European Union forged a trade deal with the Trump administration.

The 15% tariff would be lower than previously threatened, but it would remain a high duty on America’s largest trading partner.

The agreement is a major step in Trump's plan to shake up global trade, which he says was weighted against America.

Wall Street is coming off a winning week fueled by strong earnings and recent deals between the U.S. and its trading partners.