European Markets React to China's Tariff Hike

Following China's announcement to increase tariffs on United States goods up to 125%, major European stock indexes closed mostly lower, marking a volatile end to the trading week. This move has further escalated trade tensions between the world's two largest economies.

UK Chancellor's Tax Promise

Amidst the market turmoil, British Chancellor Rachel Reeves reassured the public by confirming no increases to income tax, VAT, or National Insurance, providing a slight solace to investors.

Market Performances at a Glance

The DAX saw a significant drop of 1.08%, with MTU Aero Engines leading the fall at 5.81%. The CAC 40 and Euro Stoxx 50 also declined, while the FTSE 100 managed a modest gain, buoyed by Fresnillo's impressive 7.37% jump.

Currency Movements

On the currency front, the euro and pound sterling both gained against the dollar, with the euro up by 1.16% and the pound by 0.62%, reflecting the day's mixed financial signals.