European Markets React to US Tariff Announcements

Investors across Europe are on high alert as major stock indexes experience significant drops in premarket trading. The focus is squarely on the European Union's response to the latest reciprocal tariffs announced by United States President Donald Trump, set to take effect on April 9.

Indexes Across the Board See Sharp Declines

Germany's DAX led the downturn with a 4.83% drop, shedding 1,013 points by 7:42 am ET. Not far behind, Italy's FTSE MIB suffered a 7.44% slump, marking one of the day's steepest declines. Other notable losses included France's CAC 40 and the Euro Stoxx 50, which fell by 2.58% and 4% respectively.

Currency Movements Amid Market Chaos

While stocks tumbled, the euro saw a slight increase against the dollar, trading 0.25% higher at $1.09910. The British pound also experienced minor fluctuations, last recorded at $1.29099 against the dollar.