European markets are heading for a negative open Wednesday as global traders brace themselves for a raft of fresh trade tariffs to be announced by U.S. President Donald Trump’s administration.
The U.K.’s FTSE 100 index is expected to open 24 points lower at 8,558, Germany’s DAX down 38 points at 22,501, France’s CAC 4 points lower at 7,872 and Italy’s FTSE MIB 74 points lower at 37,977, according to data from IG.
Global markets traded in mixed territory Tuesday amid concerns that the White House could be erring toward more punitive import duties after Trump said earlier this week that his “reciprocal tariffs” plan will target “all countries” when they are announced Wednesday. The White House revealed Tuesday that the tariffs “will be effective immediately.”
The Washington Post reported Tuesday that White House aides had drafted a proposal that would levy tariffs of roughly 20% on most imports. The paper, which cited three people familiar with the matter, noted that advisors cautioned that several options were still on the table, however, meaning the 20% tariffs may not materialize. CNBC reached out to the White House for comment and is awaiting a response.
Other trade duties are set to come into effect Wednesday, dubbed “Liberation Day” by the White House, including a 25% levy on “all cars that are not made in the United States.”
Asia-Pacific markets were mixed overnight, while U.S. stock futures traded near the flatline.
There are no major data releases in Europe Wednesday. Earnings are set to come from Raspberry Pi.