European Markets React to Economic Data and Trade War Concerns

On Friday, major European stock markets experienced a downturn following the release of critical economic data from Germany. The data revealed that the country's industrial output in December reached its lowest point since 2020, causing concern among investors.

Investors are also closely monitoring the potential impacts of a looming trade war, spurred by United States President Donald Trump's tariffs on China, Mexico, and Canada. The European Central Bank (ECB) has warned that these tariffs could adversely affect the European economy.

Market Performance Overview

The DAX index fell by 0.63%, with Porsche shares dropping significantly by 7.12%. Similarly, the Euro Stoxx 50 decreased by 0.62%, and Pernod Ricard shares declined by 4.69%. The CAC 40 index slid 0.43%, with Edenred experiencing a 4.56% slump. The FTSE 100 wasn't spared either, dropping 0.31%, with Barratt Redrow leading the losses at a 4.02% decline.

Currency Movements

In currency markets, the euro weakened by 0.51% against the dollar, trading at $1.03361 at 5:28 pm CET. The pound sterling also saw a decrease, falling 0.31% against the dollar to $1.24000 shortly after.