European Stocks Close Weak As Tariff Concerns Weigh On Sentiment

(RTTNews) - European stocks closed lower on Friday amid concerns about U.S. tariffs, and on some disappointing regional economic data.

With the July 9 deadline to strike deals with the U.S. just a few days away, U.S. President Donald Trump has announced that his government will send letters to trading partners outlining unilateral tariffs that will take effect on August 1.

The EU, which is pushing for an agreement in principle ahead of July 9, has acknowledged that a comprehensive deal is unlikely to be reached by the deadline.

The U.S. and Vietnam have already struck deals. Also, the US and China have agreed to a truce.

The pan European Stoxx 600 fell 0.72%. The U.K.'s FTSE 100 settled flat, Germany's DAX and France's CAC 40 closed lower by 0.61% and 0.75%, respectively. Switzerland's SMI edged down 0.05%.

Among other markets in Europe, Czech Republic, Finland, Ireland, Netherlands, Poland, Russia, Spain and Sweden closed weak.

Denmark, Greece, Iceland, Norway, Portugal and Turkiye ended higher, while Austria and Belgium closed flat.

In the UK market, Barratt Redrow, Mondi, Schroders, Airtel Africa, Howden Joinery, Antofagasta, Easyjet, Anglo American Plc, Croda International and Kingfisher were among the notable losers.

Vodafone Group gained 3%. Fresnillo, Coca-Cola Europacific Partners, Coca-Cola HBC, AstraZeneca, Haleon and Endeavour Mining climbed 1 to 2.5%.

In the German market, Siemens, Brenntag, Deutsche Post, Deutsche Bank, Vonovia, BASF, Volkswagen and Adidas ended down 1 to 2.5%.

Rheinmetall rallied nearly 4%. E.ON gained about 1.3%, while Qiagen, Bayer and Merck posted modest gains.

In the French market, Teleperformance, Publicis Groupe, BNP Paribas, Stellantis and ArcelorMittal lost 2 to 2.5%.

LVMH, Credit Agricole, Societe Generale, Schneider Electric, Edenrd, Saint Gobain and STMicroElectronics ended down 1 to 1.7%.

Engie gained about 1.8% and Sanofi climbed nearly 1%. Orange and Thales recorded modest gains.

Data from Destatis showed Germany's factory orders declined more than expected in May as the sharp fall in domestic demand offset the rise in orders from non-euro area economies.

Factory orders decreased 1.4% from a month ago, Destatis reported. Orders were expected to drop 0.2% after an upwardly revised 1.6% rise in April. Excluding large-scale orders, manufacturing orders were 3.1% lower than in the previous month.

Survey data from S&P Global showed Germany's construction sector remained in the contraction territory in June due to the deterioration in housing activity.

The construction Purchasing Managers' Index posted 44.8 in June, up from 44.4 in May. It was the second-highest score in over two years behind April's recent high.

Data from the statistical Office INSEE showed France's industrial production logged an unexpected monthly fall in May, dropping by 0.5% month-on-month. Output was expected to rise 0.4%. Nonetheless, the pace of decline was less severe than the 1.4% decline posted in April.

Meanwhile, the decline in manufacturing output deepened to 1% from 0.7% a month ago.

Data from the Society of Motor Manufacturers & Traders showed UK car sales expanded for the second straight month and marked the best June since 2019 with strong growth in battery electric car demand.

New car market grew 6.7% from a year ago to 191,316 units in June. This was the best June since 2019, helping lift first half performance 3.5% above the same period last year, the lobby said.

New petrol registrations fell 4.2% and diesel volumes gained only 0.2%, suggesting that combined share of the market was 51.6%. Total electrified vehicle registrations achieved a 48.5% market share.