European Markets End Higher Amid Tariff Optimism

European markets closed higher on Tuesday, as investors held onto hopes for relief from US President Donald Trump’s tariff policies. The day's trading was marked by a mix of economic reports, showcasing the complex landscape of the region's economy.

Mixed Economic Data from Germany and Eurozone

Germany's economic sentiment took a sharp downturn in April, contrasting with a 1.1% rise in Eurozone industrial production for February. This divergence highlights the uneven recovery across the continent.

Tariff Skepticism and Industry Warnings

The European Union remains doubtful about the US easing its 20% tariffs on imports. Simultaneously, carmakers have raised alarms over the potential impact of ongoing tariffs and regulations on the auto industry in both Europe and the US.

Market Performances Highlights

The DAX and FTSE 100 saw significant gains, with Heidelberg Materials and 3l Group PLC leading the charge. The EURO STOXX 50 and CAC 40 also posted increases, with Stellantis NV making notable advances. Currency markets saw the euro dip against the dollar, while the pound gained ground.