U.S. President Donald Trump said he believed Britain would fight to defend the United States but suggested he could not say the same for the European Union, a factor in his decision not to sign a trade deal with the bloc.

The EU says the U.S. is resisting efforts to strike a trade deal and warned of countermeasures if no agreement is reached with U.S. by Aug. 1.

Stocks closed slightly higher on Monday, shrugging off President Donald Trump's announced tariffs over the weekend targeting the European Union and Mexico. Those new levies rekindled tensions with two of the largest U.S. trade partners and threatened to raise consumer prices.