FX.co ★ European Stocks Fall Again, Heading for 4% Weekly Drop

European stock markets continued their downward trend on Friday, with the STOXX 50 index slipping by 0.9% and the STOXX 600 declining by 1%. Both indices reached their lowest points since mid-January, maintaining the significant downturn seen in the prior session, where they fell by 3.7% and 2.7%, respectively. This ongoing negative sentiment among investors is largely attributed to the tariff announcement from the Trump administration. In retaliation, the European Commission has announced its preparations for countermeasures, and French President Emmanuel Macron has encouraged French enterprises to suspend their upcoming investments in the United States. Additionally, Germany's outgoing economic minister forecasted that President Trump might "yield under pressure" if Europe presents a unified front. The banking sector faced severe declines on Friday, alongside sectors such as basic resources, oil, and gas. Specific losses included Deutsche Bank dropping by 5%, UniCredit by 4.1%, BBVA by 3.2%, Societe Generale by 3%, and Banco Santander by 2.9%. In contrast, L’Oréal experienced a gain of nearly 1.7%. Overall, for the week, the STOXX 50 has decreased by 4%, with the STOXX 600 down by almost 3.5%.