European Stocks Experience Downturn Amid Global Economic Cues

On Thursday, European stocks saw a decline as investors assessed a mix of corporate earnings reports and remained cautious due to shifts in the United States’ approach to its trade relationship with China.

The pan-European STOXX 600 index decreased by 0.3% as of 0714 GMT.

Global markets were unsettled following US President Donald Trump’s criticism of Federal Reserve Chair Jerome Powell the previous week, although Trump later walked back his calls for Powell’s resignation.

The status of tariffs on Chinese goods remained uncertain. However, the White House’s indication of a willingness to ease trade tensions contributed to the recovery of European stocks and Wall Street on Wednesday.

The European benchmark index had previously fallen nearly 18% from its peak earlier in the month after the world’s two largest economies imposed significant tariffs on each other, raising concerns about a potential global recession.

Individual Stock Performances

Adidas shares saw a rise of 1.9% after the German sportswear company announced first-quarter sales and profits that exceeded expectations.

Conversely, BNP Paribas of France experienced a drop of 2.3% after the Eurozone’s largest bank reported first-quarter earnings that aligned with forecasts. Kering’s shares decreased by 4% after the luxury goods group reported a larger-than-anticipated decline in first-quarter revenue.

Later in the day, attention turned to the German Ifo index data, which was projected to reveal a decrease in business sentiment in Germany for April. This followed disappointing PMI data releases for the Eurozone and Britain the previous day.