European stocks slipped lower Tuesday, with investors fretting about the impact on global growth from the imposition of sweeping tariffs as a potential U.S. government shutdown looms.
At 03:02 ET (07:02 GMT), the DAX index in Germany dropped 0.2%, the CAC 40 in France slipped 0.2% and the FTSE 100 in the U.K. rose 0.1%.
More U.S. tariffs U.S. President Donald Trump on Monday evening imposed tariffs on the import of lumber, furniture, and kitchen fittings, with the tariffs set to take effect from October 14, according to a proclamation signed on Monday.
Trump imposed a 10% tariff on imports of softwood lumber and timber, a 25% tariff on imports of kitchen cabinets and vanities, and a 25% tariff on upholstered wooden products.
Trump had last week also announced a 100% tariff on pharmaceutical imports, as part of his plan to promote local production and reduce reliance on imports.
Data out of China and Japan hinted at the toll that trade uncertainty is wrecking on the region’s biggest economies. China’s manufacturing activity shrank for a sixth month in September, official data showed, while a separate report showed Japan’s factory output fell more than expected in August.
Back in Europe, German import prices decreased by 1.5% year on year in August, while Britain’s economy grew 0.3% in the April-to-June period of this year, the Office for National Statistics said on Tuesday, in line with the initial estimate but still a sharp slowdown from the 0.7% growth in the prior quarter.
3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads. U.S. government shutdown Investors are also watching Washington as a potential federal government shutdown draws nearer after a meeting between top Democrats and Republicans with Trump at the White House on Monday failed to come up with a solution.
If Washington does close down, it would halt the release on Friday of all-important nonfarm payrolls data for September, a key input for the timing of further easing by the Federal Reserve.
That could put today’s JOLTS data even more into the spotlight, as investors seek guidance over the likelihood of further interest rate cuts this year after the reduction for the first time this year earlier this month.
Pandora changes its CEO In corporate news, Danish jewellery maker Pandora’s (CSE:PNDORA) CEO Alexander Lacik will retire in March of 2026 and will be succeeded by Chief Marketing Officer Berta de Pablos-Barbier.
Scottish soft drinks company A.G.Barr (LON:BAG) said its adjusted profit before tax rose just over 20% in the first half of the year, lifted by margin improvements and strong demand for its Boost brand.
Crude set for monthly loss Oil prices slipped lower Tuesday, on track for monthly losses, following reports major producers are preparing to raise output in November added to oversupply worries.
At 03:02 ET, Brent futures dropped 0.5% to $66.76 a barrel, and U.S. West Texas Intermediate crude futures fell 0.4% to $63.20 a barrel. Both benchmarks declined more than 3% on Monday, and remained on track to post losses of more than 1% in September.
The Organization of the Petroleum Exporting Countries and allies including Russia, together known as OPEC+, is reportedly considering another oil production increase of at least 137,000 barrels per day in November.
The group will meet online on Oct. 5 to discuss the move, and would follow a similar supply boost already scheduled for October, as the group shifts from deep cuts to measured production growth in an attempt to protect market share.
