Economic Indicators and Tariff Fears Weigh on European Markets

On Monday, major European stock markets closed lower, influenced by the latest economic indicators from the Eurozone, Italy's inflation data, and manufacturing figures from Germany. The shadow of potential tariffs imposed by US President Donald Trump on the European Union also loomed large, contributing to the market's downturn. Trump's previous tariffs on Mexico and Canada, with a temporary reprieve for Mexico, have heightened concerns among investors.

Market Performance Highlights

The DAX index fell by 1.31%, with Volkswagen AG experiencing a significant drop of 4.45%. Similarly, the Euro Stoxx 50 and CAC 40 indexes saw declines of 1.28% and 1.20%, respectively, with Stellantis NV leading the losses. The FTSE 100 wasn't spared, dropping by 1.04% as Jd Sports Fashion's shares fell by 4.67%.

Currency Movements

Amid the market turmoil, the euro weakened slightly against the dollar, trading at $1.03160 by late afternoon. Conversely, the pound sterling gained ground, appreciating by 0.15% against the dollar to $1.24303.