European shares steady as investors assess Trump’s tariff Impact
Press Hub UCapital
Share:
European markets steady after record close. Trump raises tariffs on aluminum to 25%; Steel stocks slide while gold hits new highs; Fed Chair Powell’s testimony in focus.
European Markets Hold Gains Despite Trade War Fears
The STOXX 600 index remained largely unchanged Tuesday, down 0.05% at 08:10 GMT, as investors weighed the potential economic fallout from U.S. President Donald Trump’s latest tariff hike. Trump raised U.S. aluminum tariffs from 10% to 25%, escalating trade tensions and driving basic resources stocks down 1%. European steelmakers, which supply 15% of U.S. steel imports, saw declines, with Thyssenkrupp (TKA) and Salzgitter (SZG) down over 1% each.
Gold Surges as Investors Seek Safe Havens
Gold prices soared to new all-time highs, nearing the $3,000 per ounce milestone, as investors rushed to hedge against inflation risks fueled by Trump’s aggressive trade stance.
Earnings and Stock Movers
Entain (ENT) plunged 10% after the British bookmaker announced the immediate resignation of CEO Gavin Isaacs; Kering (KER) jumped 4.6% following a better-than-expected Q4 revenue report, despite weak sales at its Italian brand Gucci; UniCredit (UCG) declined 3.2% despite beating earnings expectations and promising higher shareholder rewards; BP (BP) saw Q4 profits drop to $1.17 billion, the lowest in four years, as weak refining margins hit its bottom line; TUI (TUI) posted a strong Q1 profit as demand for packaged holidays surged.
Focus on Powell’s Testimony and U.S. Inflation Data
Federal Reserve Chair Jerome Powell’s testimony before Congress is scheduled for 15:00 GMT, with investors closely watching his comments on Trump’s trade policies and the Fed’s rate outlook. Markets are also bracing for Wednesday’s U.S. Consumer Price Index (CPI) report, which could reinforce or challenge rate cut expectations for 2025.
Market Outlook
Gold and defensive assets likely to remain strong amid escalating trade tensions; European stocks could face pressure if Trump signals additional tariffs beyond steel and aluminum; Volatility expected across forex and equity markets ahead of Powell’s remarks and U.S. inflation data.
European Markets Hold Gains Despite Trade War Fears
The STOXX 600 index remained largely unchanged Tuesday, down 0.05% at 08:10 GMT, as investors weighed the potential economic fallout from U.S. President Donald Trump’s latest tariff hike. Trump raised U.S. aluminum tariffs from 10% to 25%, escalating trade tensions and driving basic resources stocks down 1%. European steelmakers, which supply 15% of U.S. steel imports, saw declines, with Thyssenkrupp (TKA) and Salzgitter (SZG) down over 1% each.
Gold Surges as Investors Seek Safe Havens
Gold prices soared to new all-time highs, nearing the $3,000 per ounce milestone, as investors rushed to hedge against inflation risks fueled by Trump’s aggressive trade stance.
Earnings and Stock Movers
Entain (ENT) plunged 10% after the British bookmaker announced the immediate resignation of CEO Gavin Isaacs; Kering (KER) jumped 4.6% following a better-than-expected Q4 revenue report, despite weak sales at its Italian brand Gucci; UniCredit (UCG) declined 3.2% despite beating earnings expectations and promising higher shareholder rewards; BP (BP) saw Q4 profits drop to $1.17 billion, the lowest in four years, as weak refining margins hit its bottom line; TUI (TUI) posted a strong Q1 profit as demand for packaged holidays surged.
Focus on Powell’s Testimony and U.S. Inflation Data
Federal Reserve Chair Jerome Powell’s testimony before Congress is scheduled for 15:00 GMT, with investors closely watching his comments on Trump’s trade policies and the Fed’s rate outlook. Markets are also bracing for Wednesday’s U.S. Consumer Price Index (CPI) report, which could reinforce or challenge rate cut expectations for 2025.
Market Outlook
Gold and defensive assets likely to remain strong amid escalating trade tensions; European stocks could face pressure if Trump signals additional tariffs beyond steel and aluminum; Volatility expected across forex and equity markets ahead of Powell’s remarks and U.S. inflation data.