European shares were on course to post their worst week in three months on Friday, as US President-elect Donald Trump’s comments about potential tariffs on the European Union further spooked investors already worried about the rate outlook.
The pan-European STOXX 600 index fell 0.8% by 0812 GMT, trading at its lowest in nearly a month and on course for its biggest weekly decline since early September.
Trump said that the EU must purchase US oil and gas to make up for its “tremendous deficit” with the world’s largest economy, or face tariffs.
All the major European subsectors were in the red, with banks and miners leading losses.
The German DAX and France’s CAC 40 fell about 1% each. Britain’s FTSE 100 posted a smaller decline compared with its European peers, down 0.3%.
Data showed British retail sales rose by a weaker-than-expected 0.2% in November, adding to signs of slow momentum in the economy.
Investors are awaiting US inflation data later in the day for hints on the pace of rate cuts next year.
European stocks tumble after Fed’s hawkish signal
European stocks had tumbled on Thursday after the Federal Reserve projected fewer rate cuts next year and higher inflation.
Idorsia tumbled about 41% after the Swiss pharma company announced delays to a rights deal related to its hypertension drug Tryvio, raising funding concerns.
Source: Brecorder
