On Friday, the STOXX 50 fell by 1%, reaching its lowest point in three weeks, while the STOXX 600 dropped 0.9%, hitting a one-month low.
European shares fall to near one-month lows
These declines were driven by growing concerns over the potential effects of a second Trump administration on Europe. Donald Trump threatened to impose tariffs on the European Union unless member states increase their purchases of American oil and gas. Further adding to the uncertainty, political instability in the US escalated as the House of Representatives rejected a Trump-backed funding plan, setting the stage for a partial government shutdown beginning Friday night.
Banks among largest decliners
All sectors ended in the red, with Deutsche Bank (-2.6%), UniCredit (-2%), Vivendi (-1.7%), and Kering (-1.7%) underperforming. For the week, the STOXX 50 declined by 1.8%, while the STOXX 600 dropped 1.9%, marking their worst weekly performance in three months.
