European stocks soar 7% as markets breathe sigh of relief after Trump tariff pause: Live updates

European stocks soar 7% as markets breathe sigh of relief after Trump tariff pause: Live updates


European markets rose sharply at the open on Thursday, after U.S. President Donald Trump temporarily reversed course on tariffs.

The regional Stoxx 600 index was 7.04% higher shortly after the opening bell, with stocks across the board surging to place all individual sectors firmly in positive territory. Banking, tech and industrials stocks notched the biggest gains, surging 10%, 9.9% and 9.1%, respectively.

In a volatile week for markets that has been marked by sharp moves higher and lower, the pan-European Stoxx 600 ended the prior session down 3.5% at its lowest closing level since January 2024.

But later on Wednesday, Trump temporarily reduced new tariff rates on imports from most U.S. trade partners to 10% for 90 days — a sharp reversal from previous comments in which he insisted duties would not be lifted.

U.S. stocks rallied after Trump’s announcement, with the S&P 500 soaring more than 9% during Wednesday’s session to see its third-largest gain in a single day since World War II.

The Dow Jones Industrial Average jumped 7.87% — its biggest percentage advance since March 2020 — and the Nasdaq Composite jumped over 12%, notching its largest one-day jump since January 2001 and second-best day ever.

Deutsche Bank Research’s George Saravelos said some version of the so-called “Trump put” — a play on options terminology that suggests the president would keep the stock market from falling too far — is back.

“The administration is finally signalling responsiveness to the very extreme market conditions we highlighted in the morning,” he said in a note Wednesday.

“At the margin, this should reduce the probability that such an extreme policy mix returns. It is more likely that the administration accepts negotiated outcomes on trade (and other) policies, and it is more likely the administration becomes responsive to market pressure, if this continues.”

Trump’s shift in policy came on the same day his so-called reciprocal tariffs came into effect, with close to 90 countries being targeted.

China, however, did not get a reprieve from the president. He increased tariffs on the country to 125% after China said earlier in the day that it would increase duties on imports from the U.S. to 84%.

The European Union also retaliated Wednesday, with the bloc’s lawmakers approving its first set of countermeasures in response to the steel and aluminum tariffs imposed by the U.S. in March.

Asia-Pacific shares were last widely higher in Thursday trading, with Japanese markets leading gains in the region.

— CNBC’s Dan Mangan and Sean Colon contributed to this report.



Source

Ferrari shares slump 12% in biggest drop since 2016 listing
World

Ferrari shares slump 12% in biggest drop since 2016 listing

People walk by a Ferrari dealership in New York City. Spencer Platt | Getty Images News | Getty Images Ferrari shares fell more than 12% on Thursday, setting the stock for its biggest one-day drop since its listing nine years ago, even as the luxury sports car maker maintained its guidance, although it said it […]

Read More
Trump’s 50% copper tariff includes a major exemption. That won’t halt price rises
World

Trump’s 50% copper tariff includes a major exemption. That won’t halt price rises

Copper rods in storage at the Aurubis AG metal refinery in Hamburg, Germany, on Wednesday, July 16, 2025. Bloomberg | Bloomberg | Getty Images A major exemption to President Donald Trump’s 50% copper tariff has shocked traders and sent U.S. market prices plummeting. The final order on copper tariffs, which the Trump administration says will […]

Read More
German inflation dips to cooler-than-expected 1.8% in July
World

German inflation dips to cooler-than-expected 1.8% in July

Rhineland-Palatinate, Mainz: Fruit is sold at the weekly market. Andreas Arnold/dpa | Picture Alliance | Getty Images German inflation fell more than expected to 1.8% in July, data from statistics agency Destatis showed Thursday. Economists polled by Reuters had anticipated inflation to dip to 1.9%. July’s reading compares to the 2% print recorded in June, […]

Read More