European stocks edged lower on Tuesday as investors assessed the new economic landscape with U.S. President Donald Trump’s new global trade tariffs coming into effect.
At 11:05 (Saudi Arabia time), the DAX index in Germany fell by 0.1%, the CAC 40 index in France fell by 0.2% and the FTSE 100 index in the United Kingdom fell by 0.2%.
New Definitions Scene
President Trump’s new global trade tariffs took effect at a 10% level following a Supreme Court ruling that overturned the bulk of his previous tariffs, adding to the uncertainty dominating the global trade landscape.
The 10% level was reported through the U.S. Customs and Border Protection's messaging service, with media reports indicating that the White House is now working to raise the tariffs to the 15% level that Trump ultimately settled on over the weekend in response to the ruling.
Investors are concerned about whether trade deals negotiated before the Supreme Court ruling are still valid, as an EU assessment, for example, found that the new tariff policy would raise duties on some of the bloc's exports above the level allowed in their trade agreement.
Trump is likely to address the issue when he delivers his traditional State of the Union address to Congress later on Tuesday, but he has warned trading partners against playing games by backtracking on recently agreed trade deals.
European companies' profits continue to flow
In Europe, there are more quarterly earnings for investors to examine at the start of a busy week.
Standard Chartered (LON:STAN) announced a 16% increase in annual pre-tax profits thanks to the strong performance of its global banking and wealth businesses. The UK-based lender also announced a $1.5 billion share buyback and a 65% increase in annual dividends compared to the previous year.
Telefónica (BME:TEF) posted a net loss in the fourth quarter after recording €2.8 billion in restructuring costs, with charges exceeding gains in operating performance as the company progresses in overhauling its portfolio and exits several markets in Latin America.
Fresenius Medical Care (ETR:FMEG) announced a sharp rise in fourth-quarter operating income, as the German healthcare company helped accelerate cost savings and positive reimbursement effects.
Croda International (LON:CRDA) announced higher adjusted earnings for 2025, as the British specialty chemicals company supported strong growth in its consumer care and life sciences businesses.
The European automotive sector was also in the spotlight on Tuesday, as new car sales in the region fell year-on-year in January for the first time since June, according to data from the European Automobile Association (ACEA).
Total new car registrations in the European Union fell by 3.9% in January, while battery electric vehicles expanded their market share to 19.3% from 14.9% a year earlier. Hybrid electric vehicles remained the most popular powertrain, accounting for 38.6% of registrations, while petrol and diesel models continued to lose ground.
Crude oil prices near seven-month highs
Oil prices rose slightly on Tuesday, trading near seven-month highs ahead of a new round of nuclear talks between the United States and Iran later this week.
Brent crude futures rose 0.3% to $71.33 a barrel, and U.S. West Texas Intermediate crude futures rose 0.4% to $66.55 a barrel.
Both contracts are currently trading around levels last seen in early August 2025.
Iran and the United States are scheduled to hold a third round of nuclear talks on Thursday in Geneva, amid growing concerns about the risk of military conflict as Washington seeks to end Iran's nuclear program.
