(Reuters) – European shares fell on Tuesday due to losses in automobiles and telecom-related stocks, as investors grew unsettled over fears of a trade war between top global economies, the U.S. and China.
The pan-European STOXX 600 index was down 0.3% as of 0819 GMT. The benchmark had logged its biggest single-day drop in more than one month on Monday.
Automobiles lost about 1%. Telecommunication fell 0.8% after Vodafone dropped 5.6% after the mobile group reported another deterioration in Germany in its third quarter.
China announced tariffs on some U.S. imports in retaliation for Washington’s 10% additional levies on Beijing, reigniting concerns of a trade war between the economies.
Providing slight relief, U.S. President Donald Trump on Monday agreed to a 30-day pause in 25% tariffs on Mexico and Canada, in return for concessions on border and crime enforcement with the two neighbouring countries.
Capping the overall fall, Infineon jumped 11.1% after the German chipmaker posted stronger than expected first-quarter revenue and slightly raised its full-year revenue outlook.
The earnings helped boost technology index that added 1.41%.
Banks rose 0.3%. France’s BNP Paribas rose 1.6% after it reported a forecast-beating jump in net income in the fourth quarter, but lowered a key profit target for 2025.
(Reporting by Nikhil Sharma; Editing by Mrigank Dhaniwala)
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