European Markets React to Trump's Tariff Announcement

Following the announcement of new tariffs by United States President Donald Trump, including a 20% levy on goods from the European Union, major European stock indexes opened lower on Thursday. Investors are also keenly awaiting PMI reports from the UK, Germany, and the Eurozone, alongside the euro area's producer prices report.

Significant Drops Across Key Indexes

The DAX fell sharply by 2.13%, or 502 points, at the opening bell, with Bayer seeing a notable drop of 3.99% by 9:01 am CET. Similarly, the FTSE 100 decreased by 1.17%, with JD Sports Fashion losing 5.22% shortly after. The CAC 40 wasn't spared, dropping 2.2%, as Airbus shares plunged by 4.73% by 9:03 am CET. The Euro Stoxx 50 also declined by 2.31% at the open, with Adidas suffering a dramatic 10.16% fall by 9:04 am CET.

Currency Movements Amid Market Turmoil

In currency markets, the euro gained 1.24% against the dollar, trading at $1.09886 by 8:58 am CET. The pound also saw an increase, up 0.85% against the dollar, reaching $1.31181 by 8:59 am CET.