European Stocks Hit Hard by Tariff-Driven Market Turmoil
European stock markets plunged on Thursday, reacting to newly announced tariffs that took investors by surprise.
The Stoxx 600 index closed down 2.7%, as major retail and industrial stocks with global supply chains faced severe losses. Adidas fell 11%, while shipping giant Maersk dropped 9.5%.
The automotive sector was hit hard, with the Stoxx Autos index losing 3.9% following new 25% tariffs on imported vehicles.
Financial stocks took a major hit, falling 5.6%, while the technology sector declined by 4.5%.
In contrast, utility stocks saw a 3% rise, benefiting from their defensive nature during market turbulence. National indices were also down, with the U.K.’s FTSE 100 falling 1.6%, France’s CAC 40 dropping 3.3%, and Germany’s DAX down 3.1%.
The newly introduced tariffs, including a 10% baseline duty on all imports and higher rates on specific products, are expected to impact over 180 countries.
The EU and China have both signaled potential countermeasures, with European leaders expressing concern over the disruption to trade.
In the currency market, the euro and the British pound surged to six-month highs against the dollar, reflecting increased uncertainty. As global markets remain volatile, investors are bracing for continued fallout from the unexpected tariff policies.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
