European stocks opened lower on Tuesday as investors assessed the global impact of the U.S. presidential election. Donald TrumpPlans to increase tariffs on China, Mexico and Canada.
regional Stoke 600 It was down 0.61% at 8:10 a.m. London time, with all sectors except telecoms in the red. The automotive sector led the decline, falling 2.1%.
The index closed higher for a third straight session on Monday as global stock market momentum lifted stocks on Wall Street. Dow Jones Industrial Average to a new one Record.
Trump said Monday night that one of his first actions after taking office would be Add 10% tariff to all Chinese goods Entering the United States and threatening 25% tariff products from Mexico and Canada, ending regional free trade agreements.
Economists have previously pointed out potential inflationary impact Trump’s fiscal plan could lead to a slower pace of interest rate cuts by the Federal Reserve. This, in turn, could boost the dollar against currencies such as the euro and pound.
“The immediate market reaction looks negative,” Maybank analysts said in a note on Tuesday.
“However, these tariffs are indeed very different from the 60% tariffs on China and 10% on the rest of the world that Trump mentioned during the campaign. Although the market may be cautious about the risk that Trump may gradually introduce tariffs .
Europe was quiet on Tuesday on the data and earnings front.
Investors will continue to analyze the latest merger and acquisition news in the banking industry. UniCredit Bank Offer to buy Italian bank BPM Bank About 10 billion euros ($10.5 billion).
In the United States, the Federal Reserve will release the minutes of its November meeting, which will cut interest rates by 25 percentage points.
