Market Reaction to Trade Tensions

As the trade war between the United States and the European Union intensifies, European stock markets opened lower on Thursday. This comes in response to the EU's decision to impose $26 billion worth of countermeasures against the US tariffs on steel and aluminum. The move has sparked concerns over the potential impact on global trade and economic growth.

Economic Data in Focus

Amidst the trade tensions, economic data remains a key focus. The Swiss Federal Statistical Office reported a 0.3% increase in the producer and import price index for February. Additionally, the Eurozone is set to release its industrial production figures later in the day, which could provide further insights into the economic health of the region.

Stock Market Performance

Major indexes across Europe experienced declines. The DAX fell by 0.38%, with Daimler Truck leading the losses by nosediving 8.90%. Similarly, the FTSE 100 and CAC 40 saw decreases, with NatWest Group and STMicroelectronics among the notable decliners. The Euro Stoxx 50 also dropped, reflecting the broader market sentiment.

Currency Movements

In currency markets, the euro and pound both weakened against the dollar. The euro traded 0.23% lower, while the pound lost 0.12%, indicating a cautious approach by investors amidst the ongoing trade disputes.