As Traders Await US Tariffs, Stocks Resume Decline – Europe Market Wrap

Stocks resumed their decline, while Treasury rates remained near one-month lows in the hours leading up to Trump’s tariff announcement, with speculation circulating about the specifics of the intended trade action.

Europe’s Stoxx 600 Index fell 0.7%, with healthcare firms among the largest losers as major layoffs at the US Department of Health raised concerns about the outlook for vaccines and gene therapies.

Trump is scheduled to disclose his tariff intentions in the White House Rose Garden just before US markets shut at 4 p.m. Several options are claimed to be under consideration, including a tiered tariff structure with fixed rates for countries and a more tailored reciprocal arrangement. The White House has stated that the tariffs will take effect immediately, but that Trump is open to further negotiations.

Uncertainty about the taxes has driven turbulent swings on Wall Street this week, as traders fear that lengthy and perhaps acrimonious negotiations with trade partners could stifle economic development and squeeze corporate profits.