Economic Indicators and Tariff Fears Weigh on European Markets

Following the release of key economic indicators from the Eurozone, including Italy's inflation data and Germany's manufacturing numbers, major European stock markets closed lower on Monday. The shadow of potential tariffs from the United States, as mentioned by President Donald Trump, added to the market's unease. Trump's previous actions, including tariffs on Mexico and Canada, and his recent comments have kept investors on edge.

Market Movements and Currency Fluctuations

The DAX index saw a significant drop of 1.31%, with Volkswagen AG leading the downturn by falling 4.45%. Similarly, the Euro Stoxx 50 and the CAC 40 indices declined by 1.28% and 1.20%, respectively, with Stellantis NV experiencing a sharp decrease of 4.48% on both. The FTSE 100 wasn't spared, falling 1.04% after Jd Sports Fashion's 4.67% drop.

In the currency markets, the euro weakened slightly against the dollar, trading at $1.03160 by 5:28 pm CET. Conversely, the pound sterling gained 0.15% against the dollar, exchanging at $1.24303 at the same time.