European markets opened higher on Friday as U.S. President Donald Trump’s tariffs regime continues to remain in focus.
Talks centered on a ceasefire deal for Ukraine are also still in the limelight for regional traders.
The regional Stoxx 600 was up nearly 0.4% shortly after the opening bell, with London’s FTSE 100 up 0.3% and France’s CAC 40 up 0.4%. The German Dax was up 0.3%.
Earlier this week, the EU announced it would retaliate to Trump’s 25% tariffs on steel and aluminum with countermeasures on 26 billion euros ($28 billion) worth of goods. The EU’s tariffs could take aim at clothing, alcohol and industrial goods imported from the United States.
Trump swiftly responded to the announcement with a threat to impose further levies on EU goods, threatening on Thursday to slap 200% duties on champagne and spirits originating from the bloc.
The president’s latest threats toward the EU sent European shares sliding lower, with regional markets closing in negative territory on Thursday.
Corporate earnings will also be on investors’ radar on Friday, with Daimler and Swiss Life set to update shareholders on their finances.
German automaker BMW shed 2.9% on the Stoxx 600 index in early trading hours, after reporting a 37% decline in annual profit in 2024, in light of weakened demand from China.
Kering was down 11.4% at 8:30 a.m. London time, after announcing Demna Gvasalia as new artistic director of its ailing Gucci fashion line.
In terms of economic data, the U.K. will publish January gross domestic product figures, while inflation prints are due out of Germany, France and Spain.
Overnight in Asia, stocks made broad gains, reversing course from the previous session, which saw sell-offs amid concern about the impact of a global trade war.
On Wall Street, stock futures rose on Friday morning, after the benchmark S&P 500 index closed in correction territory on Thursday.
