European markets opened higher on Tuesday as uncertainty remained over the scope and breadth of U.S. President Donald Trump’s trade tariffs.
The pan-European Stoxx 600 index was up 0.9% by 1:34 p.m. in London, with most sectors and all major bourses in positive territory. France’s CAC 40 led regional gains, up by around 1.1%.
British oil major Shell gained 2.3% after the company announced plans to boost investor returns, cut spend and doubled down on its liquified natural gas (LNG) push.
British home improvement giant Kingfisher shed 14% after reporting a 7% year-on-year drop in annual profit.
At the other end of the Stoxx 600, shares of German biotech giant Bayer gained 4.7%, recovering slightly from a 7% loss in the previous session. Over the weekend, the company said it had been ordered by a U.S. court to pay $2.1 billion in damages relating to its Roundup weed killer.
“We believe that we have strong arguments on appeal to get this verdict overturned and the excessive and unconstitutional damage awards eliminated or reduced,” the firm said at the time.
The autos sector was up 0.7% during afternoon deals, after U.S. President Donald Trump announced plans on Monday to implement tariffs on automobiles and a host of other sectors including the pharmaceuticals, lumber, and semiconductor industries.
Asia-Pacific markets traded mixed overnight as investors assessed Trump’s tariff threats while U.S. futures edged down marginally after the three key Wall Street indexes logged gains on Monday.
Wall Street remains on edge over a potential uptick in inflation and slowing economic growth as it awaits reciprocal tariffs from the Trump administration on April 2.
However, during Monday’s session, traders grew optimistic on news that the White House may narrow the scope of tariffs going into effect, according to reports from The Wall Street Journal and Bloomberg News.
Later Monday, Trump told the press that he “may give a lot of countries breaks” on reciprocal tariffs. He added that duties on certain sectors, such as pharmaceuticals and autos, would still be coming in the “near future.”
