Latest news with #StoxxEurope600Index
IOL News
6 hours ago
- Business
- IOL News
EU, US confident they'll reach tariff deal by July deadline
President Donald Trump in April announced a raft of so-called reciprocal tariffs on nearly all US commercial partners. Image: Kamil Krzaczynski / AFP The European Union and the US believe they can clinch some form of a trade agreement before a July 9 deadline, when Washington is set to impose a 50% tariff on nearly all EU products and the bloc plans to unleash its own series of countermeasures. European Commission President Ursula von der Leyen told EU leaders behind closed doors at a Thursday summit that she was confident a deal could be reached before the deadline to avoid an economically damaging escalation, according to people familiar with the matter. Von der Leyen said that the Trump administration had shared a new proposal this week. During the discussion, there was a shift in tone among the leaders, many of whom said they were ready to accept some degree of imbalance in a trade deal to avoid an escalation, said the people, who spoke on the condition of anonymity. US Commerce Secretary Howard Lutnick echoed von der Leyen's comments in a Thursday interview with Bloomberg TV, saying that the EU had picked up the pace of the negotiations in recent weeks, laying out the groundwork for an accord. A spokesperson for the commission, which handles trade matters for the EU, didn't immediately reply to a request for comment. 'Europe has done an excellent job, they're working hard,' Lutnick said. 'I'm optimistic - I think we can get a deal now.' Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading European stocks extended their gains after the news, with the Stoxx Europe 600 Index up 1%. The benchmark was up 0.7% before the news. German bonds extended a small drop, sending the yield on the two-year to 1.87%. Lutnick added that it made sense for a deal with the EU to come at the end of the process since the bloc is the US's largest trade partner, and as such the two have a deep and complex relationship. President Donald Trump in April announced a raft of so-called reciprocal tariffs on nearly all US commercial partners, targeting trade barriers American companies face abroad, such as duties, domestic regulations and taxes. Those 50% tariffs are set to be imposed July 9. In addition to the universal levy, Trump has introduced a 25% tariff on cars and a 50% duty on steel and aluminum. He's also working to expand tariffs on other sectors, including pharmaceuticals, semiconductors and commercial aircraft. The US president has often blasted the EU – which he has said was created to 'screw' the US – over its goods surplus and perceived barriers to American trade. The EU estimates that US duties now cover €380 billion (R8 trillion), or about 70%, of its exports to the US. EU officials believe that the best-case scenario from the negotiations remains an agreement in principle that would allow the talks to continue beyond the July deadline, Bloomberg previously reported. Since intensifying negotiations, the US and EU have been conducting in-depth discussions on critical sectors – such as steel and aluminum, automobiles, pharmaceuticals, semiconductors and civilian aircraft – as well as on tariff and non-tariff barriers, in addition to strategic purchases and economic security. Thursday's leaders' debate didn't reveal the extent of the imbalances the bloc's capitals are prepared to stomach, according to the people. The EU, which has been seeking a mutually beneficial deal, will assess any end result and at that stage decide what level of asymmetry it's willing to accept. Because of that, in parallel to the negotiations, the bloc continues to prepare countermeasures should talks yield unsatisfactory outcomes and may need to rebalance the agreement targeting some key sectors. The EU has approved tariffs on €21 billion (R439bn) of US goods that can be quickly implemented in response to Trump's metals levies. They target politically sensitive American states and include products such as soybeans from Louisiana, home to House Speaker Mike Johnson, as well as agricultural products, poultry, and motorcycles. The bloc has also prepared an additional list of tariffs on €95bn of American products in response to Trump's so-called reciprocal levies and automotive duties. They would target industrial goods including Boeing Co. aircraft, US-made cars, and bourbon. The EU is also consulting member states to identify strategic areas where the US relies on the bloc, as well as potential measures that go beyond tariffs.
Mint
2 days ago
- Automotive
- Mint
European Stocks Set for Weekly Gain on Trade Optimism With US
European stocks were set for a weekly gain on optimism that the European Union and the US can clinch some form of trade agreement in the coming weeks. The Stoxx Europe 600 Index rose 0.9% by 3:45 p.m. in London, with automakers and consumer products stocks outperforming. Sportswear companies Adidas AG and Puma SE rose after US peer Nike Inc.'s fourth-quarter revenue beat expectations and it said a yearlong sales decline is starting to ease. Bloomberg reported that European Commission President Ursula von der Leyen told EU leaders behind closed doors she was confident a deal with the US could be reached before the deadline to avoid an economically damaging escalation. Sentiment was also supported by comments from US Commerce Secretary Howard Lutnick, who said the US and China had finalized a trade understanding reached last month in Geneva. China said it has further confirmed details of a trade framework with Washington. The main European regional index is on track for a 7% advance in the first half of the year, outperforming US peers. European stock funds are set for their second-largest annual inflow ever, with investors pouring $46 billion into the region so far in 2025, Bank of America Corp. said, citing EPFR Global data. As the first half of the year draws to a close, traders will now likely seek a fresh catalyst to extend the rally. A positive outcome to the trade negotiations with the US could offer that, though von der Leyen has said the European Union is ready for all eventualities, including a breakdown in talks. Meanwhile, inflation edged up in France and Spain but the rise won't be enough to concern European Central Bank officials, who are optimistic their 2% target will be met sustainably this year. Among other individual movers, Knorr-Bremse AG fell 2.9% after Citigroup Inc. and JPMorgan Chase & Co. downgraded the rating of the German braking systems manufacturer. Schneider Electric SE shares gained 5.8% after the electrical equipment firm reiterated its full-year guidance on a pre-close analyst call, which Oddo BHF described as 'reassuring.' For more on equity markets: You want more news on this market? Click here for a curated First Word channel of actionable news from Bloomberg and select sources. It can be customized to your preferences by clicking into Actions on the toolbar or hitting the HELP key for assistance. To subscribe to a daily list of European analyst rating changes, click here. With assistance from Michael Msika, Sabrina Nelson Garcinuno and Sagarika Jaisinghani. This article was generated from an automated news agency feed without modifications to text.
Mint
2 days ago
- Automotive
- Mint
European Stocks Post Best Week in Six on Trade Optimism With US
(Bloomberg) -- European stocks posted their biggest weekly gain since mid-May on optimism that the European Union and the US can clinch some form of trade agreement in the coming weeks. The Stoxx Europe 600 Index rose 1.1% by the close, with automakers and consumer products stocks outperforming. It advanced 1.3% for the week, the most in six weeks. Sportswear companies Adidas AG and Puma SE rose after US peer Nike Inc.'s fourth-quarter revenue beat expectations and it said a yearlong sales decline is starting to ease. Bloomberg reported that European Commission President Ursula von der Leyen told EU leaders behind closed doors she was confident a deal with the US could be reached before the deadline to avoid an economically damaging escalation. Sentiment was also supported by comments from US Commerce Secretary Howard Lutnick, who said the US and China had finalized a trade understanding reached last month in Geneva. China said it has further confirmed details of a trade framework with Washington. 'Just like with China, more negotiations mean that the odds of a worst-case scenario diminish,' said Karen Georges, an equity fund manager at Ecofi. 'It doesn't put an end to uncertainty though.' The main European regional index is on track for a 7% advance in the first half of the year, outperforming US peers. European stock funds are set for their second-largest annual inflow ever, with investors pouring $46 billion into the region so far in 2025, Bank of America Corp. said, citing EPFR Global data. As the first half of the year draws to a close, traders will now likely seek a fresh catalyst to extend the rally. A positive outcome to the trade negotiations with the US could offer that, though von der Leyen has said the European Union is ready for all eventualities, including a breakdown in talks. Meanwhile, inflation edged up in France and Spain but the rise won't be enough to concern European Central Bank officials, who are optimistic their 2% target will be met sustainably this year. Among other individual movers, Knorr-Bremse AG fell 2.2% after Citigroup Inc. and JPMorgan Chase & Co. downgraded the rating of the German braking systems manufacturer. Schneider Electric SE shares gained 6.5% after the electrical equipment firm reiterated its full-year guidance on a pre-close analyst call, which Oddo BHF described as 'reassuring.' For more on equity markets: You want more news on this market? Click here for a curated First Word channel of actionable news from Bloomberg and select sources. It can be customized to your preferences by clicking into Actions on the toolbar or hitting the HELP key for assistance. To subscribe to a daily list of European analyst rating changes, click here. --With assistance from Michael Msika, Sabrina Nelson Garcinuno and Sagarika Jaisinghani. More stories like this are available on
AU Financial Review
4 days ago
- Business
- AU Financial Review
US and Iran to talk next week; Trump threatens Spain for defence miss
President Donald Trump assailed Spain for refusing to agree to new defence spending targets adopted by NATO and suggested the country could be penalised by facing tariffs twice as high from the US. 'You're the only country that is not paying. I don't know what the problem is,' Trump said at the NATO summit at The Hague when asked about Spain balking at paying 5 per cent of their GDP on defence. 'We'll make it up. You know, we're going to do, we're negotiating with Spain on a trade deal. We're going to make them pay twice as much. And I'm actually serious about that,' Trump added. Spain's benchmark stock index extended its losses after Trump's remarks, trading down 1.6 per cent. The index was down about 1.3 per cent prior to the comments. The Stoxx Europe 600 Index, the worst-performing major European benchmark on Wednesday, was down 0.7 per cent. 'We downplay Trump's comments and we emphasise our commitment to NATO,' a spokesperson for the Spanish government said. Spain is part of the European Union, which is racing to clinch a trade deal with Washington before tariffs on nearly all its exports to the US jump to 50per cent on July 9. The European Commission, the executive arm of the EU, handles trade matters for the 27-member bloc — individual member states don't negotiate trade deals on their own.
Yahoo
4 days ago
- Business
- Yahoo
Trump Threatens to Double Spanish Tariffs Over NATO Spending
(Bloomberg) -- President Donald Trump assailed Spain for refusing to agree to new defense spending targets adopted by NATO and suggested the country could be penalized by facing tariffs twice as high from the US. Bezos Wedding Draws Protests, Soul-Searching Over Tourism in Venice US Renters Face Storm of Rising Costs US State Budget Wounds Intensify From Trump, DOGE Policy Shifts Commuters Are Caught in Johannesburg's Taxi Feuds as Transit Lags Mapping the Architectural History of New York's Chinatown 'You're the only country that is not paying. I don't know what the problem is,' Trump said Wednesday at the NATO summit at The Hague when asked about Spain balking at paying 5% of their GDP on defense. 'We'll make it up. You know, we're going to do, we're negotiating with Spain on a trade deal. We're going to make them pay twice as much. And I'm actually serious about that,' Trump added. Spain's benchmark stock index extended its losses after Trump's remarks, trading down 1.5%. The index was down about 1.3% prior to the comments. The Stoxx Europe 600 Index, the worst-performing major European benchmark on Wednesday, was down 0.6%. 'We downplay Trump's comments and we emphasize our commitment to NATO,' a spokesperson for the Spanish government said. Spain is part of the European Union, which is racing to clinch a trade deal with Washington before tariffs on nearly all its exports to the US jump to 50% on July 9. The European Commission, the executive arm of the EU, handles trade matters for the 27-member bloc — individual member states don't negotiate trade deals on their own. Trump has blasted the EU — which he has said was created to 'screw' the US — over its goods surplus and perceived barriers to American trade. NATO members agreed at the summit Wednesday to raise their spending levels to 5% of GDP. Spanish Prime Minister Pedro Sanchez, however, has refused to meet the new target, saying the country can raise its expenditure to 2.1%, 'nothing more, nothing less.' Sanchez has said Spain will meet the alliance's ambitious new weapons and troop targets, but without committing to the price tag that NATO had attached to it. Sanchez has drawn sharp criticism from fellow NATO members. The US has already introduced 25% tariffs on European automobiles as well as a 50% levy on steel and aluminum. Trump has also announced that the US is working to expand tariffs to other sectors, including pharmaceuticals, semiconductors and commercial aircraft. Many in the EU expect that most of the US tariffs will remain in place even if a deal is reached, including a 10% baseline tariff. The EU estimates that US duties now cover €380 billion ($439 billion), or about 70%, of its exports to the US. The EU has already approved tariffs on €21 billion of US goods that can be quickly implemented in response to levies Trump imposed on aluminum and steel exports. The duties target politically sensitive American states and include products such as soybeans from Louisiana, home to House Speaker Mike Johnson, as well as agricultural products, poultry and motorcycles. The bloc is also preparing an additional list of tariffs on €95 billion of American products in response to Trump's so-called reciprocal levies and automotive duties. That list could change as member states and industries seek amendments that could protect their sectors. 'I'm going to negotiate directly with Spain. I'm going to do it myself,' Trump insisted. 'They're going to pay, they'll pay more money this way.' --With assistance from Blaise Robinson. (Updates with market move in the fourth paragraph.) Inside Gap's Last-Ditch, Tariff-Addled Turnaround Push How to Steal a House Luxury Counterfeiters Keep Outsmarting the Makers of $10,000 Handbags Ken Griffin on Trump, Harvard and Why Novice Investors Won't Beat the Pros Apple Test-Drives Big-Screen Movie Strategy With F1 ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
