European Markets Trade Lower Amid Concerns Over Trump’s Tariff Policies
European markets traded mostly lower on Wednesday as investors digested weak regional sentiment data and concerns over President-elect Donald Trump’s proposed tariff policies. The Euro Stoxx 50 index closed 0.2% lower, while the UK’s FTSE 100 index slipped 0.7%. The German DAX index, however, gained 0.2%.
Trump’s plans to impose a 10% tariff on all Chinese goods entering the US and hinting at a 25% tariff on products from Mexico and Canada have raised concerns among investors that he will soon turn his attention to Europe. This comes at a time when European automakers are already struggling with tepid demand and a region-wide economic slowdown.
Data released earlier in the day showed that France’s consumer confidence index fell to a five-month low in November, with households expressing concerns over the outlook for the economy and the job market.
In corporate news, EasyJet’s stock closed 0.4% lower despite reporting a rise in profit for the fiscal year 2024. The budget airline targets 3% capacity growth and aims to reduce winter losses in the next fiscal year.
Just Eat Takeaway’s stock fell 2.5% after announcing plans to delist from the London Stock Exchange by the end of the year, citing low trading volumes and high costs. Johnson Matthey’s stock slumped 11% after reporting weaker-than-expected results for the first half of fiscal 2025.
Crude oil prices edged lower on Wednesday, with traders assessing the impact of a ceasefire deal between Israel and Hezbollah as well as an unexpected decline in US oil inventories. The US crude futures contract declined 0.2% to $68.63 a barrel, while the Brent contract rose 0.3% to $72.12 a barrel.
